With thousands of homeowners locked in their homes because of spiraling flood insurance rates, Florida regulators are working on a program to lure private companies to write flood insurance in the state as an alternative to the federal program.The Florida Office of Insurance Regulation is talking to insurance companies who are interested in coming to Florida and writing expedited flood insurance policies, said Rebecca Matthews, the department’s deputy chief of staff at a meeting of the Senate Banking and Insurance Committee on Tuesday.
“This is an issue that may need to be taken care of a little sooner than session,’’ she said, explaining that regulators do not plan to wait until legislators return to Tallahassee for the spring lawmaking session in March. “A handful of companies have shown interest.”
Sen. David Simmons, R-Altamonte Springs, chairman of the committee, said lawmakers must respond to the unintended consequences of the Biggert-Waters Flood Insurance Reform Act of 2012 which could harm the state’s economy.
“If there’s money to be made in this and the flexibility is given to private enterprise, then we can get that started,’’ he said. “The question, of course, is are we going to be able to do it fast enough.”