An Update on Florida Insurer Downgrade Situation: Demotech Commentary

By | January 14, 2020

  • January 14, 2020 at 1:20 pm
    Jack says:
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    “However, in the near term, Demotech anticipates the need to downgrade several carriers. Those assigned an FSR of S, Substantial, are good carriers with the potential to return to A, Exceptional, if they adapt to the challenging market conditions.

    We are hopeful that the marketplace will embrace them during that transition.”

    Banks will not accept Demotech S rated companies. Prove me wrong!

  • January 15, 2020 at 12:17 pm
    Tiger88 says:
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    Nicely stated Joe, very well articulated. Now…release the names of the companies impacted so we agents can protect our clients by moving them to more stable carriers right now!!!!

    • January 16, 2020 at 1:54 pm
      Jack says:
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      I actually consider Demotech negligent for not releasing the names now. You can bet I’ll include them in litigation if something happens.

  • January 24, 2020 at 10:36 am
    Angel of Good Tiding says:
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    Well, I guess the bright side is that Demotech actually looks at the companies at all, some thought they collected their fees, so that the companies could have A ratings to appease banks with no regard for the financials.

    My new rating company will be coming out soon, if anyone needs an A Rating. We will be kind of pricey, as the market for A ratings is drying up.

  • January 29, 2020 at 1:01 pm
    Breanne Manchester says:
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    So we are warned well in advance that carriers will be getting downgraded but not given even so much as to a hint of which carriers…. how is this helpful to the agency or the insured? If there are carriers that we know are on the brink of downgrades why are we not being notified so we can act accordingly as agency owners in the best interest of our clients? This is beyond frustrating.



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