Hurricane Milton made landfall Wednesday night, centered near Sarasota as a Category 3 storm with maximum sustained winds of 120 mph, a less-powerful storm than had been feared but one that brought some storm surge, flooding, multiple tornadoes and property damage to parts of the state. At least four people were killed.
The Florida Hurricane Catastrophe Fund, which provides a backstop and level of reinsurance for property insurers in the state, is well-positioned to handle the impact of the storm, an official said early Thursday.
Still, the storm is expected to have some impact on property insurance companies’ bottom lines. Oscar Seikaly, CEO of NSI Insurance Group, predicted that Milton, along with Hurricane Helene that swamped the Southeast last month, will result in higher reinsurance prices for carriers.
Homeowners in parts of Florida should then expect premium increases of at least 20% in the next year or so, he said in an email. That would come after four years of rate increases, but evidence this year of rate stabilization and even minor rate decreases from some carriers.
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