CPCU eJournal, December 2005

by Cassandra R. Cole, Ph.D.; Richard B. Corbett, Ph.D., CPCU,
CLU, ARM; Randy E. Dumm, Ph.D.; Kevin M. Gatzlaff;
Patrick F. Maroney, J.D.; Kathleen A. McCullough, Ph.D.;
and James W. (Jay) Newman Jr.


Abstract: Insurers in the state of Florida are required to make coverage available for
the peril of sinkhole. Over the past 15 years, several studies have indicated a
continual increase in the scope of the problem in terms of both frequency and
severity. In a 2005 report to the state of Florida, a variety of solutions were
proposed to mitigate the impact of the sinkhole problem in Florida. This
article summarizes those recommendations and the subsequent action
taken by the 2005 Florida legislature. These findings can be applied to other
states exposed to similar perils, both subsidence- and nonsubsidence-related.

http://www.cpcusociety.org/file_depot/0-10000000/0-10000/3267/conman/CPCUeJournalDec05article1.pdf