Volume 4 Number 36
September 7, 2007

Fellow Floridian:

Today marked the close of another busy week for Chief Financial Officer Alex Sink and the Department of Financial Services.   From riding along on a PIP fraud arrest to speaking to a group of 800 affordable housing advocates, our office continues to touch Floridians across the state.

My Safe Florida Home shows premium savings - This week we learned that in addition to providing information about how safe your home is from storms, the My Safe Florida Home program has helped save most homeowners an average of $154.51 a year on their wind insurance premiums – that’s a potential savings statewide of $11.2 million. 

Keynote to 20th Annual Florida Housing Coalition conference–CFO Sink was the keynote speaker at the Florida Housing Coalition’s 20th Annual Statewide Affordable Housing Conference on Thursday, September 6th.  CFO Sink spoke at the Omni Hotel in Orlando to nearly 800 affordable housing advocates about the need for affordable housing resources and the importance of using these resources to stimulate Florida's economy. 

Special Session postponed – The Legislature announced this week they have decided to put off the September special session, which was scheduled to address budget shortfalls. Without a special session it is almost assured that Floridians will enter a fault-based system when mandatory PIP coverage expires on October 1.  After 36 years under a no-fault system, the department is working to educate and advise consumers on the potential impacts of life without no-fault. 

PIP fraud arrest ride-along – CFO Sink teamed up with insurance fraud detectives in Tampa this morning as they executed search warrants and made arrests at two clinics where investigations revealed the clinics were submitting fraudulent PIP claims.  CFO Sink has warned in recent weeks that fraud will continue even though PIP coverage is no longer mandated, and her meeting with DFS fraud detectives involved discussions on potential new scams.

Invitation to UK on financial impacts of climate change -- Florida Chief Financial Officer Alex Sink announced that her office has been invited by Keith Allan, Her Majesty’s Consul General of Miami, to meet with British leaders in London in early November.

 

 

 CFO SINK IS GUEST ON TAMPA RADIO SHOW

CFO Sink is the featured guest on the Radioactivity show on WMNF 88.5 radio next Wednesday at 1:05 pm.

News and Public Affairs Director Rob Lorei asks Florida's CFO about Citizens Property Insurance Corporation, PIP,  My Safe Florida Home, property insurance discounts, climate change and its financial impact on Florida, including the upcoming trip to London.

 

 

CFO SINK TO MEET WITH BRITISH LEADERS IN LONDON IN NOVEMBER

Florida Chief Financial Officer Alex Sink announced that her office has been invited by Keith Allan, Her Majesty’s Consul General of Miami, to meet with British leaders in London in early November.

During her visit, which is sponsored by the British Government, the CFO will meet with representatives of the United Kingdom and the City of London to understand their success in confronting the challenges presented by climate change in the finance and investment sectors. CFO Sink will also meet with experts at the London School of Economics and the Royal Bank of Scotland to learn how climate change presents both insurance and financial risks as well as investment opportunities for Florida. The CFO will also visit the London office of Enterprise Florida.

While abroad, CFO Sink will meet with Lloyd’s of London to discuss the Florida Hurricane Catastrophe Fund and the impact that private reinsurance has in Florida’s property insurance market. According to Lloyd’s, “The issue of climate change will be vital to the future of the insurance industry. Since the 1960s the number of natural catastrophes has doubled and insured losses increased nearly seven-fold...we must engage better together and that means insurers, business and government working together.”  CONTINUED

 

 CFO SINK: MSFH PROGRAM HELPS MORE THAN 66,000 HOMEOWNERS SAVE AN AVERAGE OF $154 ON THEIR WIND INSURANCE PREMIUMS
Potential savings for homeowners exceeds $11.2 million statewide

Florida Chief Financial Officer Alex Sink announced today that 74.5 percent of homeowners who have received a free wind inspection through the My Safe Florida Home (MSFH) program are eligible for significant savings on their annual wind insurance premiums.

The MSFH program has projected that 66,461 homeowners out of 89,268 to date are eligible to receive a wind insurance premium discount or credit, with an average statewide savings of $154.51 based on an average statewide wind premium of $946.44. Sink’s announcement reflects a potential savings statewide of $11.2 million and is based on the current structure of the home during the free MSFH wind inspection.

“At a time when many Floridians are struggling with the cost of insurance, we are finding that thousands of Floridians are able to save money on their wind insurance premiums without making a single improvement,” said CFO Sink who runs the Department of Financial Services which oversees the MSFH program. “I encourage all eligible Floridians to sign-up for a free wind inspection to learn if they might be eligible to save money on their property insurance.”  CONTINUED
 

 

 

 CFO SINK ADDS LINK TO MYFLORIDACFO.COM TO GUIDE FLORIDIANS ON EQUITY INDEXED ANNUITIES

Florida Chief Financial Officer Alex Sink has created a link at MyFloridaCFO.com

to help consumers better understand equity indexed annuities, which have become big sellers despite being a relatively new and complex annuity product. Annuities were the subject of a hearing Wednesday before the United States Senate’s Special Committee on Aging that addressed reported marketing abuses.

Often touted as a way for investors to realize stock-market-like gains without the risk, equity indexed annuities have proven confusing to some investors who have complained to the Department of Financial Services Consumer Helpline of being misled about how the product works or not having their expectations met. These products can come with hidden penalties, costs and fees, and hefty multi-year surrender charges and may not be ideal for some senior citizens.

“As with any investment product, it is important for consumers to read and understand any document before signing and get all agreements in writing,” said CFO Sink, who oversees the department. “Our aim in providing this link is to help consumers ask the right questions to protect themselves and invest their money in a way that best serves their needs.”  CONTINUED
 

 

 CFO SINK ANNOUNCES MY SAFE FLORIDA HOME FAIRS
Fairs to be held in Pensacola, Tampa, and Ft. Lauderdale

Florida Chief Financial Officer Alex Sink announced the My Safe Florida Home (MSFH) program will partner with local government and non-profit organizations and businesses to hold fairs in three Florida cities with the intent of raising awareness about the MSFH program’s safety and financial incentives. The series of fairs will take place from September to November in Pensacola, Tampa, and Ft. Lauderdale and will be free to the public.

“It is my hope the My Safe Florida Home fairs will help raise awareness among Floridians about the program’s safety and financial incentives,” said CFO Sink who oversees the Department of Financial Services which runs the MSFH program. “In addition to learning how safe your home is against storms, this program has helped save many homeowners an average of $154.51 a month on their wind insurance premiums through free hurricane inspections.”

The first MSFH fair will take place in Pensacola on Saturday, September 15, 2007, at the Pensacola Civic Center from 10 a.m. – 4 p.m. The Pensacola fair is being co-hosted by the Gulf Power Corporation, the Escambia County Commission, and WEAR-TV and will feature over 50 exhibitors. The Tampa Bay area MSFH fair, co-hosted by the City of Clearwater will take place at the Harborview Center and Coachman Park in Clearwater on Saturday, September 29, 2007 from 10 a.m. – 4 p.m. On Saturday, November 3, 2007, the third MSFH fair will take place in Ft. Lauderdale at the Broward County Community College from 10 a.m. – 4p.m. CONTINUED
 

 

 

 

 REP. GRANT DELIVERS TWO CHECKS FROM THE MY SAFE FLORIDA HOME PROGRAM TO PORT CHARLOTTE RESIDENTS WEDNESDAY
CFO Sink urging more Floridians to sign up at www.MySafeFloridaHome.com

On behalf of Florida Chief Financial Officer Alex Sink and the My Safe Florida Home program, Representative Michael Grant D-71 (R)  personally delivered two matching grant reimbursements, one for $5,000 and the other for $4,863.43 to two Port Charlotte homeowners who hardened her home through the state’s My Safe Florida Home (MSFH) program.

Doug and Judith Kaff, both 66 year-old Real Estate Agents of Port Charlotte, received grant reimbursements Wednesday installing opening protections. After having their home inspected by a MSFH inspector, the Kaff’s received a report indicating that installing permanently deployed protection to her windows and replacing the garage door would help harden her home to hurricanes. Through the program’s grant reimbursement of up to $5,000, the Kaff’s were able to afford improvements to protect their home.  CONTINUED

 

 

 SENATOR ARONBERG DELIVERS $5,000 CHECK FROM THE MY SAFE FLORIDA HOME PROGRAM TO FT. MYERS RESIDENT WEDNESDAY
Sink urging more Floridians to sign up at www.MySafeFloridaHome.com

On behalf of Florida Chief Financial Officer Alex Sink and the My Safe Florida Home (MSFH) program, Senator Dave Aronberg (D), D-27, personally delivered a matching grant reimbursement for $5,000 to a Ft. Myers homeowner who hardened her home through the state’s MSFH program.

“Mitigation is the best way to protect your home, it will reduce the state’s exposure to hurricane damage and can result in savings on your wind insurance premium,” said CFO Sink who oversees the Department of Financial Services. “I encourage more Floridians to follow Ms. Renosis’ lead to sign up for free wind inspections through the My Safe Florida Home program.”  CONTINUED
 

FINANCIAL LITERACY COUNCIL WILL HOLD
CONFERENCE CALL MEETING

In an ongoing effort to increase financial literacy and help Floridians make better Financial decisions, Florida Chief Financial Officer Alex Sink is convening the fourth meeting of the legislatively-created Financial Literacy Council. The council will meet via conference call on Wednesday, September 12, 2007, from 10 a.m. – 11:30 a.m.

Authorized in 2006 by House Bill 825, the council was created to study the financial problems that affect consumers, particularly young people, seniors, working adults and small business owners, which arise from a lack of basic knowledge of financial issues. The council will also develop recommendations and raise funds to develop programs and resources aimed at increasing financial literacy among Floridians.

The following are the Financial Literacy Council members: Paul Auslander, CFP, President, American Financial Advisors; James R. De Santis, Executive Director, Florida Council on Economic Education; Liana Fernandez Fox, Ph.D., Professor, Hillsborough Community College; Richard George, President, Junior Achievement of West Central Florida; Cassandra J. Grayson, Sr. Vice President of Administration, Florida Credit Union League; Doug Heinlen, Member of Florida Executive Council, American Association of Retired Persons; Deidre Newton, President and CEO, Community Real Estate Services, Inc.; Obdulio Piedra, Miami-Dade Market President, Great Florida Bank; Dulce M. Suarez-Resnick, Senior Account Manager, HBA Insurance Group.

The fourth meeting of the Financial Literacy Council will be as follows:

DATE: Wednesday, September 12, 2007
TIME: 10:00 a.m. – 11:30 a.m.
DIAL-IN INFORMATION: (850) 413-1591 in Tallahassee
(888) 325-4357 outside Tallahassee
Conference Call ID 236026