Florida’s Economy Could Blow Away

Florida Tax Watch, a non-partisan government oversight group, is urging the state to implement strict requirements to improve Florida’s chances of financially surviving a hurricane.

A new report from the Florida Council for Economic Advisers claims that a serious hurricane would have the potential to bankrupt private insurers and the State’s self-insurance programs, devastating Florida’s economy.

“The Florida Hurricane Catastrophe Fund’s estimated capacity for the 2009-10 season is $16 billion, funded through $4.5 billion in cash and $3.5 billion in pre-event notes,” says the report, adding that “the shortfall in the event of a hurricane would crush the state –potentially costing 70,000 jobs.”

Florida TaxWatch recommends several measures, including new laws to prohibit citizens from insuring new structures in coastal areas at high risk, and programs that would help homeowners strengthen their homes.

To read the report, click here:
www.floridataxwatch.org/resources/pdf/
04022010FloridasFinancialExposureSelfInsurancePrograms.pdf