Miami Herald - Guest Editorial
Dr. David Sampson, Property Casualty Insurers Association of America
July 12, 2009 — As we head into the active months of the hurricane season, Floridians can take some comfort in knowing that this year lawmakers faced up to the financial risks they created.

They took on the challenge of revitalizing Florida's property-insurance market. By strengthening the financial condition and reducing potential liabilities of Citizens Property Insurance Corp. and the Florida Hurricane Catastrophe Fund, lawmakers recognized that government should be only one component of a healthy property-insurance market.

Floridians have weathered devastating hurricanes with a level of preparedness and a sense of community that has become a model for the nation.

Insurers are financially strong and ready to rebuild lives and properties should the wind blow.

In the meantime, we are educating policyholders. Leading forecasters predict an ''average'' season, which still means Floridians could anxiously watch up to 12 named storms form this year.

Reviving Florida's insurance market will be a slow, years-long process, but consumers can take steps now to reduce personal threats associated with storm season. Hardening existing homes (and building stronger homes to start); creating a family disaster plan; and maintaining an emergency supply kit are all smart ways to protect your home and family.

Having the right insurance coverage is also important. Insurance is about protecting your livelihood and quality of life. It needs to meet your needs. Insurance companies have a responsibility to be open and transparent about what we do and how we do it. Talk to your agent or direct carrier about your policy, and remember that flood damages are not covered in standard homeowners insurance policies. Coverage must be purchased separately through the National Flood Insurance Program.

The Property Casualty Insurers Association of America (PCI) has created a series of mitigation brochures that detail ''how to's'' for residents to prepare themselves. PCI's ''Storm Safety: 6 Steps in Six Weeks'' focuses on how to protect your home before and after a storm, protecting yourself against wind damage and exposing some common storm-related myths, while also encouraging policyholders to read their insurance policies until they understand the details of their coverage. (To download PCI's free mitigation brochures, visit www.pciaa.net .)

As we forge ahead with common-sense reforms and long-term solutions to make homes stronger, families safer and to restore competition to the insurance market, the insurance companies that make up PCI will continue to provide homeowners with the peace of mind they expect.

DAVID A. SAMPSON, president and CEO, Property Casualty Insurers Association of America, Des Plaines, Ill.