Insurance Commissioner Jim Donelon announced Tuesday that Louisiana Citizens will provide an additional 60 days after cancellation for insurance agents to place Weston Property & Casualty Insurance Company policies with Citizens while maintaining coverage for policyholders.
Weston, a Florida insurer with about 10,300 Louisiana policies, was placed into liquidation by a Florida court on August 8, and that will cause the cancellation of its Louisiana policies on September 7.
Another Florida-based insurer, United Property & Casualty Insurance Company (UPC), recently had its Financial Stability Rating downgraded by insurance rating agency Demotech. Some UPC policyholders with mortgage-paid policies may receive notice that they will need to find a new insurer or be force-placed by their mortgage company, depending on that mortgage company’s guidelines. Citizens’ 60-day extension will also apply to UPC policyholders in that situation, with the 60-day period beginning on the force-placed coverage notice date.
“I urge Louisiana policyholders who have residential insurance policies with Weston to contact an agent and begin shopping for a new policy in the private market or, if necessary, with Citizens,” said Commissioner Donelon. “UPC policyholders should open any correspondence from their mortgage company in case it contains a notice of force-placed coverage, in which case they should contact their agent immediately or call the LDI at 800-259-5300.”
Source: Louisiana Department of Insurance.
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