This year's relatively tame hurricane season in Florida has not quelled the fears of a small group of people in St. Petersburg. For two years they have been sounding a wake-up call of impending financial disaster should a major storm hit Florida.
In November 2006, distressed by rates and capacity in the homeowners' market and critical of the Florida Hurricane Catastrophe Fund's (Cat Fund) operations, former state legislator and insurance agency owner Don Crane and eight other executives began searching for a solution.
Their idea: the establishment of an independent state entity they have named the Florida Reinsurance Corporation (FRC). The state-owned entity would manage all hurricane coverage in Florida, handled much like the federal flood insurance program through private insurers, but with the funds from all windstorm premiums collected held by the state. The Cat Fund would be morphed into this exclusive insurer of Florida's hurricane risk.
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
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more information visit Asset & Logo Licensing.
