Insurance rates for property owners in Florida and Texas to go up

 

A recent Yardi Matrix report revealed insurance rates for property owners in states such as Florida and Texas.  Insurance costs are rising across the U.S., but the increase could be higher in states with climate-related risks. Insurance costs in Florida and Texas are 50% higher than last year and are starting to threaten new development and property sales.  According to the Lockton Global Real Estate chair Danielle Lombardo, reinsurance property companies are leaving high-risk states, and those staying are raising rates by 45%-100%.  Experts called for lender reform that requires owners to carry windstorm insurance for the total value of the property or the mortgage balance.  Last September, Hurricane Ian caused $50B worth of damages in Florida.