When Tampa-based Slide Insurance filed for an initial public stock offering last week, one page of the filing sparked significant discussion in Florida’s insurance industry. Page 132 of the U.S. Securities and Exchange Commission filing revealed that Slide founder and CEO Bruce Lucas received over $21 million in salary, bonuses, and stock awards in 2024. This compensation package, significantly higher than most other publicly traded Florida-domiciled insurance carriers, drew criticism from industry insiders and consumer advocates.
The Compensation Controversy
“Capitalism is a great system, but this is out of control,” said one Florida insurance executive who wished to remain anonymous. The compensation package is comparable to that of CEOs at major global insurance companies like Chubb, Allstate, AIG, and Travelers. Lucas’s wife, Shannon Lucas, who serves as Slide’s chief operating officer, received an additional $16.5 million, according to the filing.
Critics argue that such a large compensation package looks particularly bad for the Florida insurance industry, which is still reeling from national news coverage and policyholder complaints about hefty premium increases. Douglas Heller, director of insurance for the Consumer Federation of America, called the numbers “shocking” and questioned how much policyholders had to pay to cover these executive costs.
Industry Comparisons
The Slide filing notes that as an “emerging growth company,” it isn’t required to fully disclose executive compensation details. This lack of transparency has raised concerns that the actual compensation might be even higher than reported. Other Florida insurance executives’ compensation packages were significantly lower: Universal Property & Casualty Insurance’s Stephen Donaghy received $7.3 million, Heritage Insurance’s Ernie Garateix got $4.3 million, and American Integrity Insurance’s Bob Ritchie took home less than $2 million in 2024.
One exception was Paresh Patel, CEO of Tampa-based HCI Group, who received $20.2 million in total compensation. However, Patel explained that his compensation was largely conditional upon the company’s stock price reaching $200 per share. As of last week, HCI’s share price was $169, up from $96 a year ago. Patel argued that Slide should be credited for entering the Florida market during challenging times and serving policyholders facing non-renewals and premium spikes.
Heller countered that Slide’s compensation package is excessive, even compared to major insurance companies. Allstate CEO Tom Wilson received $26 million, while State Farm’s CEO got $24 million in 2024. While critics argue that CEO pay is a fraction of the revenue generated, Heller maintained, “It may be a drop in the bucket, but it’s still greed.”
Company Performance
Slide has shown significant growth since its inception in 2021, partly through acquiring policies from Citizens Property Insurance Corp. and taking over policies from insolvent carriers. The company reported a $201 million profit in 2024, nearly double its 2023 net income. Slide’s average premium per policy is about $4,073, slightly lower than the previous year.
The controversy surrounding Lucas’s compensation highlights the ongoing challenges in Florida’s property insurance market. As Slide moves forward with its initial public offering, the industry will be watching closely to see how the company navigates these challenges while balancing executive compensation with policyholder needs.
