After Milton, Florida likely to issue more CAT fund bonds: Moody's
Excerpt from the article:
(November 1, 2024) John Mousseau, president of Cumberland Advisors, said he expects the storms' hit to Florida's general fund will exceed $2.3 billion.
"If Florida, particularly west coast communities, face a long contracted downward market in housing (have seen some front edge of this already), then this might become a state and local government issue away from the insurers," Mousseau said.
He said the storms may lead bond insurers to increase what they charge for insurance to some local governments and could cause the state to impose a small income tax.
"Affordability and desirability of Florida are longer-term concerns tempered by weather and low-tax environment," said Patricia Healy, senior vice president at Cumberland.
Click here to read the full article on the The Bond Buyer website.
John R. Mousseau, CFA
Vice Chairman | Chief Investment Officer
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Patricia Healy, CFA
Senior Vice President, Research
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