SFRI Drops 6%

The SFRI dropped 6% in April vs. March demonstrating that the hard market is not a reality yet for mid-sized property insurance in the Tri-County area.  Rates for standard construction were flat.  A drop in rates for superior construction (Fire Resistive and Modified Fire Resistive) caused the index decline.  Overall the market continues to wait for rate increases, but demand for insurance in Florida overall is weak due to a lack of new construction and an increase in standard market activity.  According to the Florida Surplus Lines Office, property and casualty premium and policy count dropped 5% and 8% respectively in the first quarter of 2009 vs. the same period in 2008.