Florida
Florida's Heritage Insurance Sees More Profits in Q1 This Year
Heritage Insurance Holdings Inc. (HRTG) on Wednesday reported earnings of $14.2 million in its first quarter of this year, about the same as earnings for Q1 of 2023, but down from the $31 million in net income reported for the fourth quarter of 2023.
The Tampa-based property and casualty insurance holding company is the parent company of Heritage Insurance, Narragansett Bay Insurance and Zephyr Insurance. The holding firm posted revenue of $191.3 million in Q1, up 8% from the first quarter last year, thanks in part to reduced exposure and to significant rate increases.
The firm’s combined ratio was 94% for Q1, a slight improvement over last year’s quarterly number, the company’s financial statements show.
The black ink reflects a significant improvement from the Heritage financial picture in 2021 and 2022, at the depths of what has been called the Florida property insurance crisis. At the end of Q1 2022, Heritage holdings reported a $31 million net loss.
Since then, a number of Florida insurers have seen a significant reduction in litigation expenses, a key metric behind the crisis. And Heritage has continued to reduce its exposure in Florida and other states. Heritage held 182,673 policies in Florida at the end of 2022 and 529,907 policies in all 17 states in which its subsidiaries write. By the end of the first quarter this year, the number of Florida policies had dropped to 147,9654. In all 17 states, policies in force fell to 436,955 — a drop of almost 18% in less than 18 months.
But the cutbacks were not across the board. Heritage said in a news release that it had increased its commercial residential premium significantly.
“As part of our exposure management strategy, we continue to grow our policy count in products and geographies which are profitable and reduce our policy count in unprofitable and over concentrated areas,” the release noted.
“The management team is resolute in our focus to generate underwriting profits across our footprint, maintain adequate rates, ensure selective underwriting, and employ meticulous but fair claims handling,” CEO Ernie Garateix said in a statement.
4,800 Heritage Irma Claims Handled by Unlicensed Adjusters, Lawsuit Charges
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Area to watch for tropical development in Gulf to bring downpours to drought-stricken Florida | Latest Weather Clips | FOX Weather
Area to watch for tropical development in Gulf to bring downpours to drought-stricken Florida
While this area to watch for tropical development may not actually become tropical, it will definitely bring rain to Florida, which desperately needs it. The system is likely to bring the most significant rain to the Florida panhandle down south to Tampa, but the entire state can expect some moisture through midweek next week.
Florida
Will Florida see its next named storm this weekend?
Gulf system to bring downpours to Florida
FOX 13 Meteorologist Jim Weber is continuing to watch an area in the Gulf that is expected to bring much-needed rain to Florida this weekend. He said the system will likely drift to the north and northwest and will linger before heading to the northeast. He said to get a tropical depression, or a tropical storm there needs to be winds and a closed low and he is not seeing that in the models yet. Weber is also tracking a system off the coast of Africa that has a 10% chance of developing over the next week. He says it will likely enter a hostile environment and dissipate.
TAMPA, Fla. – Forecasters are tracking a broad disturbance in the Gulf of Mexico off the Florida coast that could bring much-needed rain to parched communities this weekend.
Gulf tropical development potential
What we know:
Models continue to indicate there is a potential for an area of low pressure to form over the northeast Gulf off the west coast of Florida over the weekend.
The National Hurricane Center says an area in the Gulf has a 30% chance of tropical development over the next seven days.
Models a shifting away from the forecast of the system moving over the state and off the coast of the Carolinas. Models are now indicating a more likely scenario that it lingers in the Gulf over the weekend and may drift more to the northwest near the Florida Panhandle or Louisiana coast. Early next week conditions look like they will become less conducive and may prohibit much development. Regardless of whether it organizes, the system will bring tropical downpours and increased moisture across Florida and parts of the Southeast.
FOX 13 Meteorologist Jim Weber states we are close to 7.50″ below average on our rainfall in Tampa for the year. A weak area of low pressure or tropical system can be beneficial in helping to make up for the rainfall deficit we have been experiencing. Drought conditions continue over much of the state of Florida. If this system ends up drifting more westward, it would limit the total amount of rainfall and the highest totals would be along the immediate west coast.
Atlantic tropical development potential
A tropical wave southeast of the Cabo Verde Islands remains disorganized.
It is moving west-northwest and, according to the NHC, there is a chance for slow development over the next day or two. By the weekend it is expected to move into less conducive conditions and Saharan dust will begin to affect this wave, limiting its moisture. The time for this system to develop is very limited and will not develop after the weekend.
The NHC is giving it a 10% chance of developing.
Weather factors and storm names
What we don’t know:
Officials cannot yet confirm if the disturbance will overcome environmental hurdles like land interaction, wind shear and dry air. Computer models remain uncertain on how much this system will develop over the waters of the Gulf. If it stays over the warm waters of the Gulf longer, it may give it additional time to organize. Interactions with land and wind shear will likely pose obstacles in further development.
To become a tropical system, it must develop a defined circulation with organized thunderstorms. If it reaches maximum sustained winds of 39 mph, it will become a tropical storm and be named Bertha.
The Source: The information in this story was gathered by FOX 13Meteorologist Jim Weber, the National Hurricane Center tropical weather outlooks, as well as forecast computer models.
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Florida TODAY: Homes get expensive, license to blush, fuzzy invader
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