The sooner this house of cards comes down the better. It ought not be supported for one more minute. You can only delude yourself that Florida is a functioning market for so long.
My advice for property insurers is…………….get out. Florida is a cesspool of corruption and rent seeking. Ethical men and women haven’t a chance.
The mechanism has been fine for the last 10 or more years. With the double whammy of reinsurance and inflated/illegitimate claims there’s no mechanism that could operate at any premium.
As an IA I must vent out and say that some of the Florida carriers do just an absolutely horrible job on handling legitimate claims. From not engaging the policyholder to explain the claims process at all and what to expect, to sometimes the desk adjuster not even calling the policyholder back.
I have noticed that carriers that get on top of legitimate claims quickly and pay quickly and have an open line of communication with the policyholder tend to have lower loss ratios – coincidence? Nope!
Is there fraud, yes. But is at least some of these negative results self-inflicted, yes.
I 100% agree. It’s exactly the same here in Texas. I’ve seen denials on hail claims where there is clear and obvious damage, but the adjuster calls it “blistering”. Insured sues, and insurance company ends up paying more in a settlement than it would have been if they would have just properly paid for the damage to begin with. A fast and fair settlement will almost always stop a lawsuit.
What do they mean “inches closer” towards a crisis. We are absolutely 100% here at the crisis point and have been since the end of 2019. Literally 10-15% of all homes in the South Florida area find themselves now or in the near future will be unable to find ANY home or fire insurance for their houses. And that includes the residual mechanism known as Citizens. I have one on my desk right now: no admitted markets, Lloyd’s and the other E&S players declined and it is not eligible for the “market of last resort”. Seriously and, from all accounts, there will be less capacity for FL property by the June of 2021 time frame.
The daily experience here is no different than most agents. We represent a lot of property insurers. Last year at this time I could provide a moderate 1985 home, with a 2005 roof, a competitive quote from 30+ insurers at a premium of $1,200+/-. Now when quoting the same scenario, a premium 2k+ with only 3-4 insurers offering coverage is commonplace. When a roof is more than 10 years old sometimes we have 2 options. We avoid Citizens but, we have issued 3 this month and I have 4 already lined up for next month, (I issued ZERO Citizens last year). We are in crisis mode. We are crashing. What is the legislature going to do about it?
“25 attorneys have filed nearly 20,000 lawsuits against insurers through the first six months of 2020, accounting for 43% of the state’s total property lawsuits so far this year.
The total number of suits filed against 56 property carriers since 2015 totals 246,856.”
More than 1/2 the FL legislature are either attorneys or married to attorneys. Any bill that’s proposed meaningful reform has been killed by the BAR if it takes 1 cent from PA’s or “lawyers”.
There are IA’s that won’t even take FL claims anymore. Enjoy FL!
This not California, If people filing Fraud for roofs and water damage, why are the insurance company’s not sending out adjuster to check for roof damage and water damage. No, they sit back and take it out on Law abiding homeowner and citizens. I put a new roof on two years ago. I paid for it out of pocket, i did not file a fraud claim. WHY DON”T they raise the people rates that have filed claims. This is causing me a hardship. With the pandemic and low income. I may have to let my home go. I beat the CEO’s of this insurance company’s are getting their big million dollar pay checks like most CEO’s do, and DO NOT Deserve them. California and Florida charge the highest rate in the country. SHAME ON OUR GOVERNMENT FOR ALLOWING this.I am going to lose my HOUSE. Thank you you Greedy Buch of A–es.
Homeowner insurance company’s are all nothing more than Blood suckers. Give the money back charged each year to people that file no claims. Lets see how far this goes. The Insurance company’s are no more than a racket. Taking free money for doing nothing. What RACKET.
This is the only comment that is 100% true and worth it!!!! I was quoted $4400 for the annual premium from kin Insurance, a house in Fort Lauderdale with a NEW 2018 ROOF. Never had a claim before… 2 months later the underwriter decided to jack up the premium to $12000. I was so furious. I finally today switched to Citizens with an annual premium of $5000. Kin Insurance seems to be a cesspool of corporate fraudsters.
They should be prosecuted for trying to scam a customer without any justification.
The sooner this house of cards comes down the better. It ought not be supported for one more minute. You can only delude yourself that Florida is a functioning market for so long.
My advice for property insurers is…………….get out. Florida is a cesspool of corruption and rent seeking. Ethical men and women haven’t a chance.
I believe this “insurance mechanism” in the state of Florida is a little suspect. The taxpayers will eventually become the ultimate insuror.
The mechanism has been fine for the last 10 or more years. With the double whammy of reinsurance and inflated/illegitimate claims there’s no mechanism that could operate at any premium.
As an IA I must vent out and say that some of the Florida carriers do just an absolutely horrible job on handling legitimate claims. From not engaging the policyholder to explain the claims process at all and what to expect, to sometimes the desk adjuster not even calling the policyholder back.
I have noticed that carriers that get on top of legitimate claims quickly and pay quickly and have an open line of communication with the policyholder tend to have lower loss ratios – coincidence? Nope!
Is there fraud, yes. But is at least some of these negative results self-inflicted, yes.
I 100% agree. It’s exactly the same here in Texas. I’ve seen denials on hail claims where there is clear and obvious damage, but the adjuster calls it “blistering”. Insured sues, and insurance company ends up paying more in a settlement than it would have been if they would have just properly paid for the damage to begin with. A fast and fair settlement will almost always stop a lawsuit.
What do they mean “inches closer” towards a crisis. We are absolutely 100% here at the crisis point and have been since the end of 2019. Literally 10-15% of all homes in the South Florida area find themselves now or in the near future will be unable to find ANY home or fire insurance for their houses. And that includes the residual mechanism known as Citizens. I have one on my desk right now: no admitted markets, Lloyd’s and the other E&S players declined and it is not eligible for the “market of last resort”. Seriously and, from all accounts, there will be less capacity for FL property by the June of 2021 time frame.
The daily experience here is no different than most agents. We represent a lot of property insurers. Last year at this time I could provide a moderate 1985 home, with a 2005 roof, a competitive quote from 30+ insurers at a premium of $1,200+/-. Now when quoting the same scenario, a premium 2k+ with only 3-4 insurers offering coverage is commonplace. When a roof is more than 10 years old sometimes we have 2 options. We avoid Citizens but, we have issued 3 this month and I have 4 already lined up for next month, (I issued ZERO Citizens last year). We are in crisis mode. We are crashing. What is the legislature going to do about it?
Central Florida is the hub for fake roof claims. I’m surprised it’s been so good for so long frankly.
“25 attorneys have filed nearly 20,000 lawsuits against insurers through the first six months of 2020, accounting for 43% of the state’s total property lawsuits so far this year.
The total number of suits filed against 56 property carriers since 2015 totals 246,856.”
More than 1/2 the FL legislature are either attorneys or married to attorneys. Any bill that’s proposed meaningful reform has been killed by the BAR if it takes 1 cent from PA’s or “lawyers”.
There are IA’s that won’t even take FL claims anymore. Enjoy FL!
This not California, If people filing Fraud for roofs and water damage, why are the insurance company’s not sending out adjuster to check for roof damage and water damage. No, they sit back and take it out on Law abiding homeowner and citizens. I put a new roof on two years ago. I paid for it out of pocket, i did not file a fraud claim. WHY DON”T they raise the people rates that have filed claims. This is causing me a hardship. With the pandemic and low income. I may have to let my home go. I beat the CEO’s of this insurance company’s are getting their big million dollar pay checks like most CEO’s do, and DO NOT Deserve them. California and Florida charge the highest rate in the country. SHAME ON OUR GOVERNMENT FOR ALLOWING this.I am going to lose my HOUSE. Thank you you Greedy Buch of A–es.
Homeowner insurance company’s are all nothing more than Blood suckers. Give the money back charged each year to people that file no claims. Lets see how far this goes. The Insurance company’s are no more than a racket. Taking free money for doing nothing. What RACKET.
This is the only comment that is 100% true and worth it!!!! I was quoted $4400 for the annual premium from kin Insurance, a house in Fort Lauderdale with a NEW 2018 ROOF. Never had a claim before… 2 months later the underwriter decided to jack up the premium to $12000. I was so furious. I finally today switched to Citizens with an annual premium of $5000. Kin Insurance seems to be a cesspool of corporate fraudsters.
They should be prosecuted for trying to scam a customer without any justification.