In a letter to Secretary of State Laurel Lee, DeSantis said the bill “does not adequately address the current problems facing drivers in Florida and may have unintended consequences that would negatively affect both the market and consumers “.
Legislators claimed that the bill would have helped lower premiums in Florida. Rates for insured drivers who already have personal injury coverage of at least $ 25,000 were expected to fall if the bill had passed.
Continue reading: Florida is considering decision to discontinue faultless insurance
However, insurers warned the governor that the bill could instead lead to higher premiums for most drivers, especially during the governor’s re-election campaign.
A report by the independent insurance and management consultancy firm Pinnacle Actuarial Resources for the Florida Office of Insurance Regulation found that the repeal of the state’s flawless insurance system would result in an overall premium increase of 13.3% for all coverage combined.
Continue reading: New bill in Florida could increase auto insurance rate by 50%
The Tampa Bay Times reported that the American Property Casualty Insurance Association (APCIA) praised DeSantis’ decision to veto the law.
“We applaud his leadership, his commitment to serving the best interests of the Floridians, and his actions to protect their wallets,” said Logan McFaddin, APCIA vice president for relations with the state government, in a statement.