FINANCIAL SERVICES COMMISSION (Program); OFFICE OF INSURANCE REGULATION; COMPLIANCE AND ENFORCEMENT - INSURANCEGovernor's Recommendations
2022-23
Current Year Budget
2021-22
Difference
DollarsPositionsDollarsPositionsDollarsPositions
$30,271,524246.00$29,916,833244.00$354,6912.00
 

 
Policy Area:  REGULATION AND LICENSING
Issue:            ADDITIONAL FUNDING FOR FLORIDA PUBLIC HURRICANE MODEL

Justification
Governor's Recommendations 2022-23
The Governor's Budget Recommendation for Fiscal Year 2022-23 includes $62,000 recurring Insurance Regulatory Trust Fund authority to fund additional Florida Public Hurricane Model stress tests. The Office of Insurance Regulation (OIR) conducts an annual Catastrophe Stress Test of Florida homeowners' insurers to evaluate their ability to withstand the financial impact of a series of catastrophic events. The Florida Public Hurricane Model, maintained by FIU, runs the tests for OIR under its existing contract ($969,689), which provides for 100 stress tests annually. The run developed by OIR simulates a series of historical storms and models various scenarios which require multiple runs for each insurance company and exceed the 100 runs currently allocated. OIR requests funding to have the ability to run 300 additional Catastrophe Stress Test runs each year. For the past several years, OIR has had to submit budget amendments to realign funding to pay for these additional runs. This issue was requested in OIR's Legislative Budget Request.