Sales Tax Holiday an Integral Part of the Property Insurance Reform Agenda

Governor Rick Scott is pursuing legislative action to allow a sales-tax holiday.  The goal is 15 days of reprieve from taxes in order for homeowners to purchase hurricane preparedness supplies.    This covers the less costly items like batteries, flashlights, and more significant measures such as hurricane shutters.

According to the R Street Institute, a national think tank that houses extensive property insurance research, the proverbial ounce of prevention is worth a pound of cure.  “Each dollar spent on mitigation saves society an average of $4,” said Christian Camara, Florida state director for the R Street Institute.  By preventing property damage, exposure and risk are lessened, and insurance rates drop.

We’ll have to see if the legislation goes through, and if people take advantage of it properly.

Read here to find out more.

What is the Lawsuit Abuse Reduction Act?

What is the Lawsuit Abuse Reduction Act?  It’s a tort reform bill, designed to reduce frivolous and fraudulent lawsuits. It hits every form of law – from personal injury to intellectual property to real property.

Filing frivolous lawsuits cost money.  The city of San Diego estimated that frivolous suits cost the city $17 million.  Here in South Florida, with a 40 per cent higher population, and more inclination to natural disasters and property damage, the tendency to file a lawsuit ‘just to see what we can get’ is even higher.

The state of Florida is well supplied with attorneys ready to file frivolous lawsuits, and well stocked with people who think they will get rich quickly by hitting the proverbial jackpot.  With that said, each time you file a frivolous lawsuit, you might think no harm is being done because your lawyer is working on a contingency, but that is wrong.  Instead, you are probably costing yourself, your family, your friends and your neighbors money.  Why?  Because you are driving up insurance rates as insurance companies defend increasingly meritless lawsuits.  Insurance companies may have deep pockets because they are legally mandated to keep large reserves on hand, but they are not in the habit of writing checks for frivolous lawsuits.

Everyone cares. Insurers can’t help those in need if they are consistently dealing with those who take advantage.