Washington, D.C. – A national consumer organization is urging the Florida Cabinet to retain Kevin McCarty as the state’s Insurance Commissioner. Recent news reports have indicated that Governor Scott wants McCarty replaced with a regulator friendly to insurance companies and less responsive to consumer concerns. The Insurance Commissioner is appointed by the Financial Services Commission, which is comprised of the Governor and the three statewide officeholders who make up the Cabinet: Attorney General Pam Bondi, CFO Jeff Atwater and Commissioner of Agriculture Adam Putnam.
In a letter to the Cabinet members, Consumer Federation of America’s Director of Insurance and former Texas Insurance Commissioner Bob Hunter wrote: “For Floridians, there are few officials whose decisions are as integrally linked with their own financial security as that of the Insurance Commissioner. Commissioner McCarty has been an effective and stabilizing force in the Florida market, and Floridians have too much at stake to risk the effects of losing his leadership.”
Among McCarty’s achievements, Hunter noted the successful reforms the Commissioner brought to the Florida Hurricane Catastrophe Fund, which have led to over $20 billion in savings for Florida consumers and substantial protection for Florida’s taxpayers. Hunter also pointed to Commissioner McCarty’s work, when he was President of the National Association of Insurance Commissioners, to focus attention and research on the critical matter of affordability of auto insurance for low- and moderate-income families.
The Florida insurance market is one of the most challenging markets in the nation and Commissioner McCarty has proved a balanced and consistent steward of it, according to CFA. Acknowledging that consumer groups have at times disagreed with Commissioner McCarty, Hunter said: “we have always recognized his commitment to consumers’ and taxpayers’ interests while protecting insurer interests as well.”
Pointing to news coverage of the upcoming decision of the Cabinet regarding whether to keep McCarty in the Commissioner job, CFA believes that the Governor may be facing pressure from insurance companies to replace Commissioner McCarty who would seek less accountability for the insurance industry. For Florida consumers, however, this would likely be a very costly move, CFA warned.
Contact: J. Robert Hunter, 703-528-0062
The Consumer Federation of America (CFA) is an association of non-profit consumer organizations that was established in 1968 to advance the consumer interest through research, advocacy, and education.