Florida's capital city The state's property insurance system has struggled due to insolvencies, high costs and major storms.

The bill would create a $1 billion fund, reduce litigation costs, and force some customers to leave an insurer. Insurers would be required to respond to claims more quickly and state oversight of insurers would be increased.

During the GOP-led Legislature's second special session this year, a proposal was put forth by the Republicans. The measure is expected to get final approval this week.

In a market where natural disasters weigh on the cost of business, Florida has struggled to control rising property insurance costs. Hurricane Ian wreaked havoc on the southwest coast in late September, causing an estimated $60 billion to $70 billion in insured losses.

The bill, which builds on insurance legislation passed in May, is not expected to immediately lower rates for consumers. The backers of the bill say that it is meant to keep the market stable.

"As we look forward, and as these reforms take place and work their way through the rate making process, I absolutely believe it will drive their costs down," said Republican state Sen. I think we will have rate relief as we move forward in the future.

Florida has the highest average annual premiums of any state. According to the Insurance Information Institute, 12% of homeowners in the state do not have property insurance.

"Homeowners in Florida are being crushed right now by the cost of housing and insurance," said Democratic state Sen. I don't think any action that doesn't address the instability and costs to the consumer and doesn't provide meaningful near term relief for policyholders is a good idea.

Senate Democrats filed a round of amendments to the bill, which included questions about the state of the insurance market, insurance litigation and various elements of the proposal.

Republicans voted to approve the legislation after rejecting the Democratic amendments.

In Florida, the insurance industry has seen two straight years of net losses. Insurers are leaving the state in large numbers.

According to the insurance industry, litigation is to blame. A spokesman for the Insurance Information Institute said that Florida has become an excessively litigious state due to loopholes in the law.

According to the Florida Office of Insurance Regulation, the state accounts for 75% of the nation's homeowners' insurance lawsuits.

One-way attorney fees for property insurance, which require property insurers to pay the attorney fees of policyholders who successfully sued over claims, would be removed.

Attorneys groups argue that the insurance industry is to blame for not paying out claims and that they should be sued. They say that the alternative is slanted in favor of insurance companies.

Is it possible to punish the people of Florida? Ron Haynes, an attorney with the Florida Justice Association, told the House Appropriations Committee that they wouldn't have a chance to oppose a decision if they were wealthy. Insurance should be a blanket of coverage, not a blanket of limitations.

The bill would provide $1 billion in taxpayer funds for a program to provide carriers with coverage to make sure they can pay claims. Rates would be reasonable in a market where companies complain about rising costs.

The proposal will eliminate the state's assignment of benefits laws, in which property owners sign over their claims to contractors who then handle proceedings with insurance companies.

This is something new. Mark Friedlander is a spokesman for the Insurance Information Institute. The root cause of Florida's property insurance crisis is litigation abuse and assignment of benefits abuse.

The state's public insurer of last resort, Citizens Property Insurance, this summer topped 1 million policies for the first time in almost a decade, due to the unstable insurance environment in Florida.

The bill would force people with Citizens policies to pay for flood insurance if they choose to.

Barry Gilway is the president, CEO and executive director of Citizens. It's the beginning of a big change in the property insurance market in Florida. Capital will be drawn back into the Florida market. It won't happen in a day or two, but it will happen sooner than people think.

Lawmakers are expected to pass bills this week that will give property tax relief to people whose homes and businesses were damaged by Ian and give 50% refunds to commuters who pay more than 35 highway tolls in a month with a transponder.

That's right.

The Associated Press writer was based in Florida.