Another home insurer will stop insuring Florida homes amid market ‘collapse’

The Florida home insurance market, already faltering, is being dealt another blow. WESH 2 News has learned that another company, Bankers Insurance Group, is withdrawing from the Florida home insurance market. “The private insurance market in Florida is collapsing,” Mark Friedlander said. Friedlander is a Florida spokesperson for the Insurance Information Institute. He said Bankers Insurance is now the 13th home insurance company in Florida to make such a change this year. The institute’s list includes home insurers that have either announced their exit from the Florida market, stopped writing new business or went bankrupt. The departure of the bankers leaves people with more than 50 other possible options in the state, Friedlander said. “It’s a very volatile market right now,” he said. The bankers said in a statement, “This difficult decision was made to allow us to focus on our remaining lines and ensure that they remain competitive and profitable. As a top-rated AM carrier, we remain financially sound.” The company continued to explain that state lawmakers have not Enough during the home insurance special session to combat fraud and litigation.Friedlander said that about 25,000 policyholders will be affected by the bankers’ decision.He said the company is expected to start notifying policyholders in October, when the Florida Bureau of Insurance Regulation is required to Approval of the bankers’ exit plan first. Under state law, Friedlander said the notices would give policyholders 120 days to make a change. “No policies are affected in 2022,” he said. “They are not going to cancel any policies mid-term, that’s not their plan.” Friedlander said the closest people will see implications for their policies in the next year. But he adds that people should start preparing now. “Start talking to your insurance agent as soon as possible to shop for insurance coverage for k and find out what other options are available. No need to wait until you receive this notice.” WESH 2 News has reached out to bankers for more details for customers and is awaiting a response. Bankers will continue to offer renters, flood insurance and commercial insurance. WESH 2 News also contacted the Florida Bureau of Insurance Regulatory to request an overview of the latest companies Insurance of homes that have left Florida, how many of them are left and how they are rated and await a response.More from Bankers Insurance Group: “As we have reported in recent weeks, unprecedented reinsurance costs over the past several years have forced many carriers, including bankers, to respond. , is on the search for viable options to continue offering a mix of product lines in a struggling market. Unfortunately, recent legislative actions have failed to address the immediate financial challenges that property and loss insurers face, including the fight against fraud and litigation that vastly outperforms every other state. Therefore, we made the difficult decision to inform the Bureau of Insurance Regulation that bankers are leaving Homeowners Lines (HO3) and Dwelling Fire (DP3) in Florida. Bankers have been proud to serve these lines for decades and remain dedicated to their agents and policyholders, as the banks remain financially sound and compliant with all business lines, construction risks, HO4, floods in the state. We would like to remind you that we maintain a financial strength rating of at least B+ from AM Best, meeting the requirements of mortgage lenders Fannie Mae and Freddie Mac. We will send an updated communication and an updated non-renewal schedule that adheres to the state’s 120-day notice requirements, your loyalty to bankers for the past 46 years is critical to us and we felt compelled to contact you directly. This decision was difficult, however, and was necessary to allow us to grow responsibly and maintain our long-term financial goals. Insurance experts say shady contractors are manipulating legal loopholes in Florida

The Florida home insurance market, already faltering, is being dealt another blow.

WESH 2 News has learned that another company, Bankers Insurance Group, is withdrawing from the Florida home insurance market.

“The private insurance market in Florida is collapsing,” Mark Friedlander said.

Friedlander is a Florida spokesperson for the Insurance Information Institute. He said Bankers Insurance is now 13The tenth The Florida home insurance company to make such a change this year. The institute’s list includes home insurers that have either announced their exit from the Florida market, stopped writing new business or went bankrupt. The departure of the bankers leaves people with more than 50 other possible options in the state, Friedlander said.

“It’s a very volatile market right now,” he said.

The bankers said in a statement: “This difficult decision was made to allow us to focus on our remaining lines and ensure that they remain competitive and profitable. As a top-rated AM telecom operator, we remain in a sound financial position.”

The company continued to explain that state lawmakers did not do enough during the home insurance special session to combat fraud and litigation.

Friedlander said there are about 25,000 policyholders who will be affected by the bankers’ decision. He said the company is expected to start notifying policyholders in October, as the Florida Bureau of Insurance Regulatory must approve the bankers’ exit plan first. Under state law, Friedlander said the notices would give policyholders 120 days to make a change.

“No policies were affected in 2022,” he said. “They’re not going to cancel any policies mid-term, that’s not their plan.”

The closest people will see effects on their policies is next year, Friedlander said. But he adds that people should start preparing now.

“Start talking to your insurance agent as soon as possible to shop for your insurance coverage and see what other options are available. No need to wait until you receive this notice.”

WESH 2 News has reached out to bankers for more details for customers and is awaiting a response. Bankers will continue to offer renters, flood and commercial insurance.

WESH 2 News also contacted the Florida Bureau of Insurance Regulatory to request an overview of the latest home insurance companies that have left Florida, how many are left and how they are rated and await a response.

More Banks Insurance Group:

As we have reported in recent weeks, unprecedented reinsurance costs over the past several years have forced many carriers, including bankers, to seek viable options to continue offering a mix of product lines in a struggling market. Unfortunately, recent legislative actions have failed to address the immediate financial challenges that property and loss insurers face, including the fight against fraud and litigation that vastly outperforms every other state. Therefore, we made the difficult decision to inform the Bureau of Insurance Regulation that bankers are leaving Homeowners Lines (HO3) and Dwelling Fire (DP3) in Florida. Bankers have been proud to serve these lines for decades and remain loyal to their agents and policyholders.

Bankers remain financially sound and compliant with all business lines, construction, HO4 and flood risks in the state. We would like to remind you that we maintain a financial strength rating of at least B+ from AM Best, meeting the requirements of mortgage lenders Fannie Mae and Freddie Mac. We will send an updated communication and an updated no-renewal schedule that adheres to the state’s 120-day notice requirements.

Your loyalty to our bankers for the past 46 years is extremely important to us and we felt the need to contact you directly. This decision was difficult, however, and was necessary to allow us to grow responsibly and maintain our long-term financial goals.”

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