HILLSBOROUGH COUNTY, Fla. — The price of living in paradise continues to skyrocket. Many Floridians complain their home insurance premiums are breaking their budget, and now, two insurance companies are asking for big rate hikes.
Castle Key Insurance and Amica Mutual Insurance are asking for more than a 50% increase in premiums. This week the Florida Office of Insurance Regulation will consider the request.
Mark Friedlander with the Insurance Information Institute broke down the trend.
“We haven’t seen these types of rates because the trend has been for lower rate increases,” Friedlander said.
He said the increase is aimed at condos and second homes. He also said it is likely over higher costs to replace or repair homes along with more severe weather losses.
Many Florida homeowners say their premiums already cost a pretty penny.
“My renewal was four times the premium, and I went back to Citizens, and now I'm paying double," homeowner Dawn Landes said.
She explained she is paying close to $4,000. Insurance experts do say the premium hikes this year are less than last year. Friedlander explains this latest request does not mean more are coming.
"I think these two particular rate changes are very specific niches, and the bottom line is, don't think it's a trend that's starting. It's not necessarily so,” Friedlander said.
Florida's Office of Insurance Regulation will hold hearings to consider the rate hike requests.