As the climate warms and hurricanes intensify, homes in Florida are at growing risk of costly damage when storms barrel ashore.
The financial risks have prompted some home insurance companies to pull out of the state. And many of those that remain have raised premiums dramatically.
Curtis Sponsler and his wife live in Miami.
Sponsler: “We’re inland about maybe 15 miles, but it’s still … considered a major target for hurricanes.”
Over just a couple years, their insurance premiums shot up to more than $8,000 a year. Then, their insurance company canceled their policy and later pulled out of Florida entirely.
The couple then turned to the state insurance plan that’s offered to homeowners who are struggling to get coverage. That plan cost more than $11,000 a year.
Sponsler: “And that’s untenable.”
After some research, the couple was able to find a different policy.
Sponsler: “That’s when we got it to $9,000 … which is still ridiculous.”
Sponsler worries that if insurance rates continue to rise, it will be harder to sell their house in the future.
So for him, and other homeowners in disaster-prone areas, the growing cost of insurance poses a looming financial crisis.
Reporting Credit: Sarah Kennedy / ChavoBart Digital Media