Florida-based Homeowners Choice Takes-out More Citizens Policies
Southeast News • September 5, 2008
Homeowners Choice Inc., a Clearwater, Florida-based homeowners' insurer, announced that its wholly-owned insurance subsidiary, Homeowners Choice Property & Casualty Co. Inc., received approval ...
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Subject: It is a Joke
Posted On: September 6, 2008, 8:05 am CDT
Posted By: NoOne
Comment:
Do you know that there is only one AM Best Rated company in FL writing Homeowners? There are also a couple of B++. The rest are not rated or in my opinion undercapitalized start ups. What is worrisome is that unlike other states where the citizens premium is mandated to be x% over the voluntary markets, FL Citizens actually competes with the voluntary markets. FL consumers will find lower rates but it is just a mirage...
You need a stable market for the industry to be healthy. Driving out the big players will have a very negative effect on the industry as these small startups will take over the majority of these policies from the big players.
All I can say is save some money for assessments and the other FL residents should hold on to their wallets. Also, the requirement by FL DOI to only buy reinsurance to a 100 year storm is a joke. Let's see 570B in exposure in citizens, 12B in Cash to pay claims and only 2B in real cash, the rest is letters of credit. Fl citizens is on a wing and a prayer.
by the way, for the sake of argument, if this company indeed has 11M in capital, it would be double what some of the other startups have.
Subject: It is a Joke
You need a stable market for the industry to be healthy. Driving out the big players will have a very negative effect on the industry as these small startups will take over the majority of these policies from the big players.
All I can say is save some money for assessments and the other FL residents should hold on to their wallets. Also, the requirement by FL DOI to only buy reinsurance to a 100 year storm is a joke. Let's see 570B in exposure in citizens, 12B in Cash to pay claims and only 2B in real cash, the rest is letters of credit. Fl citizens is on a wing and a prayer.
by the way, for the sake of argument, if this company indeed has 11M in capital, it would be double what some of the other startups have.