Jolted by the news that State Farm was pulling out of the Florida property insurance market, some state lawmakers are reversing themselves dramatically on how to fix the state's fragile property insurance market. Instead of clamping down with more regulation, some Republican legislators have proposed giving ratepayers a choice: Pay now or pay later. And if a customer wants to pay now, the price won't be controlled by the state. It will be up to the property insurance carrier to decide what to charge.

"I think it is essential that we initiate a major effort to restore the private market in Florida," said Rep. Bill Proctor (R-St. Augustine), and a sponsor of the legislation. "Homeowners should have a choice among the well-established, national companies. Moreover, the homeowners who are willing to pay an actuarially sound premium before the event should not be subjected to post -assessments."

Earlier this year, State Farm Florida told state officials that it planned to get out of the state's property insurance market, which has been volatile ever since eight hurricanes slammed into the state in 2004 and 2005. One of the key reasons cited by the company was the state's refusal to grant the company a nearly 50 percent rate hike. Since that news in January, the company has battled with state regulators on when and how State Farm would shed its policies over the next two years. But there are bills that have begun to move through the House and Senate that could prompt State Farm officials to reverse course.