Another Florida Domestic Insurer Placed Under Regulatory Supervision

Today’s announcement that Gulfstream Property & Casualty Insurance Company (Gulfstream) was being placed under administrative supervision by the Florida Office of Insurance Regulation marks just another instance of the ongoing challenges facing the Florida property market. As ALIRT outlined in a substantial release last June, the Florida domestic homeowners’ market – which is largely comprised of small, thinly capitalized insurers – remains under significant pressure given exposure to large windstorm losses, issues surrounding assignment of benefit abuses, and spiking reinsurance rates over the past several years.