[move4ward]

Another one bites the dust.

https://www.tampabay.com/news/busine...nes-insolvent/

Another insurer is leaving Florida, where homeowners are paying more than ever for insurance, despite the state’s attempt to shore up the wobbling market.

On Tuesday, Farmers Insurance informed the state it was dropping home, auto and umbrella policies across Florida, potentially affecting tens of thousands of people. It’s the fourth company to leave the Florida market in the last year — most citing rising risks from hurricanes.

[OutdoorLover]

Originally Posted by move4ward

Another one bites the dust.

https://www.tampabay.com/news/busine...nes-insolvent/

I saw that, and "It’s the fourth company to leave the Florida market in the last year — most citing rising risks from hurricanes." The local politicians seem to deny that this is real, but clearly the insurance actuaries believe it's real. When you have four companies taking action within a year - that's a growing consensus that it's not worth the risks.

[gatorlyn]

They may have just jinxed it now

Watch all the upcoming hurricanes make landfall in the Carolinas, or the Gulf states not-named Florida

[Mike from back east]

Farmer's is the 4th insurer to say adios to the Florida market. It even made news in a British newspaper, The Guardian; here are excerpts from their story.


"State’s efforts unable to persuade company to stay amid growing risk for carriers as climate crisis increases strength of storms"

"Farmers Insurance became the latest property insurer to pull out of Florida on Tuesday despite repeated efforts by the state’s legislature and its Republican governor, Ron DeSantis, to try to calm the volatile market that is making home ownership less affordable."

"Farmers said in a statement that the decision was based on risk exposure in the hurricane-prone state and that notifications would be sent out to affected policyholders along with advice on replacing coverage."

"At the end of 2022, average annual property insurance premiums had risen to more than $4,200 in Florida, which is triple the national average. About 12% of homeowners in the state did not have property insurance, compared with the national average of 5%...."


This last excerpt means that one of every eight homes lacks insurance. A bad storm could wreck many homes for which there will be no funds for rebuilding, leave people homeless and leave neighborhoods blighted by derelict properties. We had many people in the Black Forest area of Colorado Springs, a very conservative area, who did not have insurance. When the Black Forest Fire took out over 500 homes there were many people who really lost their homes and ended up in RVs at a WalMart parking lot.

[Corrie22]

so basically what they are saying is that they don't want to write policies where there's risk......

“We have advised the Florida Office of Insurance Regulation (OIR) of our decision to discontinue offering Farmers®-branded auto, home, and umbrella policies in the state. This business decision was necessary to effectively manage risk exposure. Farmers offers insurance through several different brands, and this decision applies only to policies issued through our exclusive agency distribution channel. There is no impact to 70 percent of policies currently in force for customers in the state, including Bristol West®, Foremost SignatureSM, Farmers GroupSelectSM, Foremost Choice® and Foremost®-branded policies. Such policies will continue to be available to serve the insurance needs of Floridians. Affected customers will receive notifications detailing when their coverage will end and will be advised of options for replacement coverage.”

Earlier this week, Farmers also announced they were cutting back business in California due to “record-breaking inflation, severe weather events, and reconstruction costs.”

https://www.wfla.com/news/farmers-in...es-in-florida/

[Travelassie]

Originally Posted by Corrie22

so basically what they are saying is that they don't want to write policies where there's risk......

“We have advised the Florida Office of Insurance Regulation (OIR) of our decision to discontinue offering Farmers®-branded auto, home, and umbrella policies in the state. This business decision was necessary to effectively manage risk exposure. Farmers offers insurance through several different brands, and this decision applies only to policies issued through our exclusive agency distribution channel. There is no impact to 70 percent of policies currently in force for customers in the state, including Bristol West®, Foremost SignatureSM, Farmers GroupSelectSM, Foremost Choice® and Foremost®-branded policies. Such policies will continue to be available to serve the insurance needs of Floridians. Affected customers will receive notifications detailing when their coverage will end and will be advised of options for replacement coverage.”

Earlier this week, Farmers also announced they were cutting back business in California due to “record-breaking inflation, severe weather events, and reconstruction costs.”

https://www.wfla.com/news/farmers-in...es-in-florida/

That's about the size of it, I think.

[msgsing]

It’s happening here also but for other reasons. So you have a state with a history of catastrophic weather events and a never ending increase in home building and population growth. What could go wrong?

[LKJ1988]

Don't let the door hit em in the backside on the way out.

[LKJ1988]

Originally Posted by msgsing

It’s happening here also but for other reasons. So you have a state with a history of catastrophic weather events and a never ending increase in home building and population growth. What could go wrong?

Good luck with that. Never had a twig blow off a tree where i have lived in FL for 60 years.

[Zenstyle]

What are the results of the two pieces of legislation passed by the Florida congress to rein in insurance companies?