A bill to shrink Florida’s Hurricane Catastrophe Fund survived substantial debate and parallel cat fights between special interests Tuesday, clearing its final House committee. It now heads to the House floor.
HB 1107 by Rep. Bill Hager, R-Boca Raton, would reduce the state’s $17 billion reinsurance fund, while also exempting medical malpractice insurers from potential “assessments” levied by the fund.
Both issues—shrinking the low-cost reinsurance fund and exempting medical malpractice—sparked opposing arguments among lawmakers and groups that have a financial interest in the outcome.
Hager said he sponsored the bill because the Cat Fund may not be able to meet its obligations to pay claims for Citizens Property Insurance and other private insurance companies that buy its reinsurance.
“This is the time for us to belly up to the bar,” he said. “We’ve made promises. Promises we know that we could not keep.”