I got the letter in the mail yesterday.
"You may have seen or heard the recent announcement that State Farm Florida Insurance Company (State Farm Florida) has submitted a plan to discontinue its property insurance lines in Florida. I want to clarify for you that this plan involves coverage only for homeowners, renters, condominium unit owners, personal liability, boats, personal watercraft, personal articles, and business property and liability policies.
State Farm Mutual Automobile Insurance Company (State Farm Mutual) and its affiliated companies will continue to provide -as they have for decades - automobile insurance, life insurance, health insurance and other financial products and services in Florida..."
It is my understanding that it will be approximately 90 days before State Farm knows anything for sure. And then if it is determined that State Farm will be pulling their property insurance line, my agent has indicated that it will be late 2009, early 2010 before policyholders will have to have their insurance shifted to a different insurance company.
..."we will not be taking any action under the plan until regulatory approval has been received. We took this action only after persistent efforts to secure adequate rates and to ensure financial stability. It is our responsibility to provide a sound financial framework for the coverages we provide."
Well, I guess I better get going...I'll have to find insurance on my primary residence AND my rental houses that are insured with State Farm. UGH!
And, I thought all this time that 'like a good neighbor State Farm is there!'
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that for you
Thanks for the clarification!
I don't think this is the first time they have done this, is it?
UGH!! Sandy!! In the words of the Church Lady from Saturday Night Live....
"WELL, ISN'T THAT SPECIAL!!"
Sandy,
They are there, right up until you need them!
Ann Hayden playing in the snow in Wildwood, Missouri
Hi Sandy
I have through the insurance company the last several years myself. It will work out.
Good luck and success
Lou Ludwig
Really? Seriously? I my goodness... if them, then who else will follow suit?
Sandy. perhaps their slogan for Florida should be .." like your old neighbor, State Farm was there..."
Sandy, We have Insurance companies come and go all the time. In about a year or so they come back when the business climate improves...
Sandy,
Nice job with your blog.
I'm a long time State Farm customer. Don't really hate the company - they've treated me well.
But there is no way that I want to be part of a mad scramble to find a new policy when they start dumping over 700,000 homeowners. Most of us know what that is like.
You really need to spread the word about a site that I read about in just about every newspaper in Florida this week:
The Home Insurance Buyers Guide
http://www.homeinsurancebuyers.org
I used it on Wednesday after the news broke - it is worth it. I'm heading for the exits.
Keep up the good work on your blog....
Andrew, You're welcome.
Fred, Yes, they have done different variations of this over the years. In the past they have stopped writing policies for investment properties. Then they stoped writing new policies for owner occupants. They cancelled properties within 1 mile of the ocean or the river, so everything on the beach was cancelled. Now they may be canceling homeowner and investment property policies.
Hi Mary, Well, I am hoping that it isn't going to happen. We'll see.
Hi Ann, They paid out so much during the hurricanes of 2004, it seems we have been losing them since then.
Hi Lou, I hope that it all does work out.
Hi Chuck, It is definitely a concern...companies pulling out of Florida.
Hi Rich, Yes, we will see.
Hi Paul, Yes, they do come and go. It's seems that many have been leaving in Florida since the hurricanes 4 years ago.
Hi Tim, State Farm has treated me well also. Thanks for passing the info along.
Sandy,
I would think it has to be a calculated risk... Like life insurance.
Does not seem fair.
Ann Hayden in cloudy Wildwood, Missouri
I hope this is not true. Not only will it affect current policy holders but also buyers looking for homeowners insurance. Good luck with your search.
Hi Ann, It is a calculated risk. Insurance companies across the country are dealing with tornadoes, mudslides, earthquakes, floods... So what are they going to do?
Hi James, I hope that it's not true also. We'll have to wait and see. I know that Citizens is writing policies across the state.
Sandy,
I guess more will stop offering coverage.. I think I want a refund now!
Ann Hayden wishing for the warmer weather to return to Wildwood, Missouri
Hey Ann, I know, I hear you...I think I want a refund too!