The Florida House of Representatives has introduced House Bill 913, a legislative proposal aimed at reforming insurance coverage regulations for coastal properties and condominiums. Introduced on February 23, 2025, the bill seeks to address the growing concerns surrounding property insurance in areas vulnerable to natural disasters, particularly hurricanes.

One of the key provisions of HB 913 is the stipulation that any major structure, defined as those undergoing significant renovations or expansions, will not be eligible for insurance coverage if located seaward of the coastal construction control line or within designated Coastal Barrier Resources Systems. This aims to mitigate risks associated with insuring properties in high-risk areas, thereby potentially stabilizing the insurance market.

The bill also introduces stricter eligibility criteria for condominium insurance. Specifically, it states that condominiums with more than 50% of units rented out for short-term leases—defined as more than eight times a year for periods shorter than 30 days—will be ineligible for coverage. This provision is intended to discourage excessive short-term rentals, which can increase wear and tear on properties and complicate insurance claims.

Debate surrounding HB 913 has highlighted concerns from various stakeholders. Proponents argue that the bill is necessary to protect the insurance market and ensure that coverage remains viable for homeowners in coastal areas. However, opponents raise concerns that the restrictions could disproportionately affect property owners and renters, particularly in tourist-heavy regions where short-term rentals are a significant source of income.

The economic implications of this bill could be substantial. By tightening insurance eligibility, the bill may lead to increased premiums for property owners who do qualify, potentially impacting housing affordability in coastal regions. Additionally, the restrictions on short-term rentals could affect local economies that rely on tourism.

As the legislative process continues, experts suggest that the bill's passage could set a precedent for how states manage insurance in disaster-prone areas. The next steps will involve further discussions and potential amendments as lawmakers weigh the balance between protecting the insurance market and supporting property owners.