Monday, September 11th, 2000 — Florida homeowners in the event of a hurricane are facing the real prospect of an assessment to pay for losses incurred by the state's windstorm underwriting pool, which is down to $8 million in cash to pay for claims.
The $8 million is the first layer of an overall $5.58 billion financing plan that includes bonds and a bank line of credit.
The Florida Windstorm Underwriting Association covers the wind portion of some 427,000 risks along the state's coastline and on barrier islands. To finance an average annual loss of $322 million and a probable maximum loss of $5.58 billion for a one-in-100-year storm, the association relies on premiums and assessments when needed.