FAR - News & Events - U.S. bill could help lower property insurance rates

FAR - News & Events - U.S. bill could help lower property insurance rates: "U.S. bill could help lower property insurance rates

TALLAHASSEE, Fla. – Jan. 16, 2007 – On the eve of the Florida Legislature’s special session on property insurance, U.S. Rep. Vern Buchanan announced Monday he will revive a federal bill that he says would help drive down rates.

Called the Homeowners’ Insurance Protection Act, the bill seeks to create a federal fund to even out the insurance market, Buchanan said in a news conference with U.S. Rep. Ginny Brown-Waite.

Federal and state lawmakers say that reinsurance is one of the main factors why homeowners now pay high premiums.

Insurance companies usually purchase reinsurance to help cover their risk, and those rates often dictate how much homeowners shell out for their property and casualty coverage.

“We have to stabilize the reinsurance market,” Buchanan said."