Nine months after hurricanes Helene and Milton struck Florida, new insurance claims data is revealing the growing amount of damage not covered by insurance. Of the more than half a million combined claims filed so far, 56% of Helene residential claims were closed without payment and about 43% of Milton residential claims. A closer look shows the majority were uninsured or underinsured.

Former Florida Deputy Insurance Commissioner Lisa Miller sat down with the heads of an insurance agency and a claims adjusting firm to find out why this is happening, how to determine proper coverage this hurricane season, and improvements in claims processes and technology.

Show Notes (For full Show Notes, visit https://lisamillerassociates.com/episode-58-the-17-reasons-your-florida-claim-wasnt-paid/)

When hurricanes Helene and Milton swept through Florida, they left more than just physical devastation in their wake − they exposed critical gaps in homeowners’ understanding of natural risk and insurance coverage, especially regarding flood protection. In this podcast, host Lisa Miller talked with two industry veterans − Lee Wiglesworth, President of Wiglesworth-Rindom Insurance Agency in Stuart, Florida, and Fraser Hudson, CEO of Lozano Insurance Adjusters of St. Petersburg − to dissect the data, debunk common myths, and offer actionable advice for insurance agents and Florida policyholders facing the daunting world of insurance claims. From claims to coverage, they discussed what every Florida property owner must know after hurricanes Helene and Milton. The podcast also provides a deep dive into Florida’s insurance landscape.

Reasons for Uninsured/Underinsured Properties

Hurricane Helene and Milton Florida insurance claims now total $7.3 billion with more than 90% of claims closed, according to the Florida of Insurance Regulation (OIR), in its June 10, 2025 claims update, the first since November 2024, just weeks after the storms’ landfalls. More than a half a million claims (519,689) have been filed across all insurance lines. On homeowners claims, the data shows that 56% of Helene residential claims have been closed without payment and about 43% of Milton residential claims. The majority of those unpaid claims were flood damage not covered under a homeowners policy or the damage was below the policy deductible, per the table below. (For full Show Notes, visit https://lisamillerassociates.com/episode-58-the-17-reasons-your-florida-claim-wasnt-paid/)

A multi-bill effort led by attorney lawmakers in the Florida House of Representatives would roll-back many property insurance litigation reforms passed in the 2022-2023 legislative session. Those reforms are reminiscent of the Workers’ Compensation insurance reforms passed in the early 2000’s that today has Florida boasting one of the lowest workers’ comp rates in the country.

Former Florida Deputy Insurance Commissioner Lisa Miller talks with Jon Shebel, former President & CEO of Associated Industries of Florida who led the workers’ comp efforts. Shebel draws direct comparisons between both reform efforts, argues that the proposed bills this session don’t help consumers, and urges the legislature to listen to the data, as it did with workers’ comp, that shows property insurance reforms are working to reduce homeowners insurance rates.

Show Notes (For full Show Notes, visit https://lisamillerassociates.com/episode-57-floridas-property-insurance-reforms-lessons-learned-from-workers-comp/)

Jon Shebel recounts his role in Florida’s 2003-2005 workers' compensation reforms, which capped attorney fees and streamlined claims, reducing rates from the highest to among the lowest in the U.S. Florida’s rates have dropped for the eighth consecutive year.

“The biggest issue was litigation,” explained Shebel, on the reason for high workers’ comp insurance rates. “Plaintiff attorneys had free rein to convince injured workers to sue their employers, often leading to drawn-out cases that weren’t necessarily in the workers’ best interest. There were cases where legal fees ended up costing more than the actual medical treatment and benefits for the injured worker.”

Shebel said that very same incentive to sue contributed to Florida having the highest property insurance rates in the country between 2017 and 2023. By 2021, Florida had 8% of all homeowners’ claims in the U.S., yet 76% of all homeowners’ claims lawsuits, according to the Florida Office of Insurance Regulation. Likewise, a 2021 report titled Florida’s P&C Insurance Market is Spiraling Toward Collapse revealed that “Of the $15 billion spent on litigated claims since 2015, only 8% was paid to policyholders. Plaintiff attorneys got 71% with the remaining 21% spent by insurance companies on defense attorneys.”

Shebel said Florida’s property insurance reforms took a lesson from its workers’ compensation insurance reforms 20 years earlier.

“Our strategy in workers’ comp was to address the root cause, plaintiff attorney involvement. The main provisions included capping attorney fees, streamlining the claims process, and implementing stricter guidelines to prevent unnecessary lawsuits. This not only reduced legal costs but also ensured that injured workers got the benefits they needed faster, without the delays that litigation often caused,” Shebel said. All.... (For full Show Notes, visit https://lisamillerassociates.com/episode-57-floridas-property-insurance-reforms-lessons-learned-from-workers-comp/)

A sensational newspaper article alleging bad deeds by Florida insurance companies is prompting the Florida House of Representatives to look into the relationship between companies and their Managing General Agents (MGAs) and affiliated companies. The Tampa Bay Times reported the companies diverted billions of dollars to affiliates while claiming to lose money from hurricanes, based on the newspaper’s reading of a regulator’s draft report.

Former Florida Deputy Insurance Commissioner Lisa Miller reveals the inadequacies of the article and its misleading and incomplete portrayal of the market and regulation. She’s joined by a veteran Florida insurance agent who explains how MGAs and affiliates function, the financial dynamics of the insurance market, and the consumer safeguards built into the system.

Show Notes (For full Show Notes, visit https://lisamillerassociates.com/episode-56-florida-property-insurance-facts-vs-fear/ )

Allen McGinniss is a licensed Florida insurance agent and the principal of the McGinniss Himmel Insurance Agency, based in Tallahassee, Florida. He began his insurance career 20 years ago as a State Farm agent before transitioning to an independent agent and co-founding his agency in 2015. He explained what Managing General Agents (MGAs) are and the crucial role in the insurance industry by performing essential administrative tasks for insurance companies. These tasks include:

• Underwriting: Assessing and evaluating risks to determine appropriate coverage and premiums.
• Claims Management: Handling the process of claims from filing to settlement.
• Policy Issuance: Managing the issuance and renewal of insurance policies.

Why Are MGAs Important?
MGAs help streamline operations by providing specialized knowledge and services that insurance companies may not handle internally. McGinniss said they can either operate within an insurance company or function independently. This flexibility allows insurance companies to:

• Respond Quickly to Market Changes: MGAs enable companies to adapt to evolving market conditions efficiently.
• Manage Claims Effectively: By leveraging the expertise of MGAs, insurance companies can ensure that claims are processed promptly and fairly.

The Tampa Bay Times Article

The Tampa Bay Times published an article on February 22, 2025 titled Florida insurance companies steered money to investors while claiming losses, study says. Its reporting was based on a draft of a 2022 consultant’s study for the Florida Office of Insurance Regulation (OIR) for the time period of 2017-2019. According to the article, “While Florida insurers claimed to be losing money in the wake of hurricanes Irma and Michael, their parent companies and affiliates were making billions of dollars.” It reported that the previously unreleased study’s summary “reveals that as the industry was ailing and companies were losing money, executives distributed $680 million in dividends to shareholders while diverting billions more to affiliate companies,” which included MGAs.

McGinniss argued that the... (For full Show Notes, visit https://lisamillerassociates.com/episode-56-florida-property-insurance-facts-vs-fear/ )