Farmer’s Insurance is no longer willing to provide insurance in the state of Florida. The national insurance company is withdrawing 100,000 policies in the state in time for the arrival of storm seasonincluding home and auto policies, like CNN report. This will leave thousands of Florida drivers without auto insurance at a time when they probably need it mostand force them to look elsewhere for policy.
The state of Florida requires insurance agencies to give policyholders 120 days notice before canceling their coverage, but there is no word on how all of this will affect ongoing claims. how it happens. According to the report, farmers call this a “business decision.” CNN, adding that the company is trying to “manage its exposure to hurricanes.” The spokesperson went on to say that the company’s smaller insurance subsidiaries, such as Most Important Signatures and Bristol West, will continue to sell auto insurance in Florida.
But it’s funny how the business decisions don’t apply to the company’s decision to start collecting premiums for Florida policies in the first place. But, I guess, if corporations were human, they would be able to change their mind or cancel a bunch of said “business decisions” – even if that negatively affects thousands of customers. pending the conclusion of the agreement or not.
However, Farmer isn’t the only major insurer to pull out of Florida, or as if it’s the only one trying to minimize its presence in the state. EQUAL CNN Reportedly, many major insurers voluntarily withdrew from Florida after last year’s hurricanes. Hurricane Ian caused $114 billion in damage, making it “the most expensive hurricane ever to hit the state,” according to CNN and National Oceanic and Atmospheric Administration.
In the next 18 months Hurricane Ian landed in Florida, 15 companies refused to insure homes in the state and four insurers left Florida altogether. The so-called “business decision” makes sense, but it’s just a reminder that the house always wins. That is, insurers – whether home or auto policy providers – will always weigh their profit against risk when insuring wholesale regions and states. At least, DO NOT HAVE says this upcoming hurricane season will be “normal” – with a 30% chance it could exceed the normal level tied to 30 percent chance of fewer storms. So maybe people without car insurance might not need it, but it’s better to be safe than sorry.
