Florida Attorney General Bill McCollum called for a federal backup program for reinsurance Wednesday at the International Association of Insurance Supervisors' annual conference in Fort Lauderdale.

"The Federal Government already extends billions of dollars in taxpayer-supported assistance to national disaster areas," he said in remarks distributed in a news release. "By creating a federal backstop, it will assure that more property losses from windstorm, or earthquakes or other national disasters, are covered by private insurance, thereby reducing potential taxpayer costs."

McCollum said that while current federal proposals are commendable, a federal financial backstop for reinsurance is necessary to completely address the costs being passed to consumers. He said the federal government should become the reinsurer of last resort for very large hurricanes that generally happen every 100 to 200 years.

McCollum said only that type of program can spread the risk of catastrophic events outside a single state and eventually drive down the cost of Florida homeowners' insurance.

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