Gov. Crist came in last year guns ablazing at the evil black hat insures. The new sheriff kicked out those nasty insurers, took over the reinsurance business in Florida, and allowed the local social insurance company, Citizens, the price freedom to undercut those evil profiteers.
The Nattering naybobs of negativism said it would never work.* But what do they know? The insurance commissioner hired the legendary chief consumer advocate (the one whose name isn't Ralph) to tell the world what the prices should be, but for some reason the prices didn't change as expected. The sheriff even appealed to trial lawyers to help him round up them there ornery black hats and get those persnickety prices lower, but they evidently couldn't find anything to sue about (can you believe that?). The insurance commissioner used his super awesome subpoena powers to get the black hats to obey. Six months later .... one now hears only the chirping of crickets,the cry of the blue heron, and the occasional Florida bullgator coughing in the distance.
The CFO, who has to manage this mess, is telling the good ole boys that Florida needs to shed some risk and quick. Some of the local ranchers are also getting nervous and one of the local marshalls, by the name of Fitch Eastwood, is saying that a big breeze will turn the Sunshine State into just another Dry Gulch.
Nothing has changed in this past year --especially the laws of economics, except for the fact that the grown-ups are now having to manage the mess created by the sheriff and his local rancher buddies. These grown-ups are rightly concerned about shedding risk. It is ironic as this is exactly what the black hats were doing before being vilified the sheriff. I do hope he looks good in a black hat.