2022 Assessment Update
The FIGA Board of Directors certified the need for a 0.70% assessment on its member insurers at its August 26, 2021 meeting. The assessment is necessary to secure funds for the payment of covered claims related to new insolvencies in FIGA’s Other Account. Pending approval, the Florida Office of Insurance Regulation will levy a 0.70% assessment on all covered lines of business except auto pursuant to Section 631.55 (2)(b), Florida Statutes. Member insurers will be required to collect an equivalent surcharge on new and renewal policies with effective dates beginning January 1, 2022 through December 31, 2022 (Assessment Year). Estimated installments will be billed beginning in July 2022 using prior year direct written premium. Member insurers will be required to file a reconciliation report with FIGA by no later than March 31, 2023 to remit actual surcharge amount collected during the assessment year. FIGA plans to hold a public workshop for its member insurers before the end of the year to explain the reporting and remittance process and policyholder disclosure requirements related to the assessment.
Assessable lines of business for FIGA’s Other Account are:
• Boiler & Machinery
• Burglary & Theft
• Commercial Multi-peril
• Fire, Allied, Earthquake, Homeowners
• Inland Marine
• Medical Malpractice
• Other & Product Liability
• Private Flood
The National Conference of Insurance Guaranty Funds publishes on their website actual and projected assessment information for all P&C guaranty funds by quarter-end. The Assessment Liability Report can be found at https://www.ncigf.org/industry/guaranty-fund-assessment-liability-information/. The Assessment Liability Report includes – by statutory account of each state guaranty fund – the maximum assessment, net assessable premium and actual and projected assessment information.
Additional information about the FIGA assessment process is available in Senate Bill 540 enacted into law on June 20, 2020.
The following chart shows the twelve (12) year history of prior assessments in descending order for each account.