For the June reinsurance renewal season, all eyes focused on the Florida market amid grandiose fears of possible dislocation in the secondary market as a result of the state's controversial catastrophe fund expansion.

So far, the private reinsurance market is still a thriving force in Florida, braced for the hurricane season as fears about the state fund's capacity to protect carriers kept reinsurers from putting all their eggs in the Sunshine State's basket.

Paul Karon, chief executive officer of Benfield Inc., said the plan of Florida regulators and lawmakers was to place $12 billion of subsidized reinsurance capacity into play, with "the quid pro quo being that insurers were supposed to take those savings from the open market and pass them on to consumers."

Recommended For You

Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader

Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
  • Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.