Sorry Florida HO CEO’s, you can have all the new business (underwritten and without flaws or issues) you want from us quality agents. But, you guys all say that every policy = 120% combined ratio with devastating legal fee losses. Which is it? Do you really want 160,000 poorly performing St. John’s policies? You are all essentially closed for new business in most of the vital growing areas of Florida. So, if you want new business, you know how to get it and complaining about Slide just makes you look whiny and unprincipled. You should be focused on surviving 2022, cleaning up underwriting issues, right-sizing your reinsurance programs, shoring up surplus and reserves and getting ready to spring into action in 2023. Let Slide have the biz, they will probably be howling in 18 months about buying all their new found policyholders a new roof.
It’s not so black & white. St. Johns had very strict UW Guidelines (was one of first FL carriers to not accept any roof > 10 years old) and evidently inadequate rates. Because St. Johns had a lot of newer roofs on the books – they cry foul over not getting a fair shot at the business as is the typical procedure when a carrier enters liquidation.
Safe to say all of these remedial activities outlined are being pursued. I’d be mad if I was denied an opportunity to offer these good risks properly rated policies if I was in their shoes too.
I do wonder how Slide was able to lock down a deal so quickly. Were other companies notified or given an opportunity to respond with their own offer? Would it had made sense to split this 2 or 3 ways, if possible, instead of giving it all to a virtual unknown? Based on the reduced appetite for business by the majority of companies I do understand that very few would have been interested. One observation – Agents have been fighting the trend for years on how to keep personal lines from turning into a “commodity”. This doesn’t help. One of the largest expenditures a consumer makes, and a very important one, has been controlled by the OIR and coverage has been shifted to a new, untested carrier. It’s not their fault, policyholders needed immediate assistance, it’s just a bad look for Florida property insurance overall.
1) Back-room deal(s).
2) No
3) Yes
4) No, any incumbent carrier paying attention would have been interested.
Insurance is already commoditized, packaged, and sold to third parties & has been for years. It’s just called Reinsurance. Fully agree it’s not a good look on the state regulators to agree to transfer any of these policies to a start-up BEFORE approving their license to do business in the state.
Would a murderer ever admit their alibi smells fishy? Of course Lucas denies any wrongdoing. Good on the incumbents for calling out this problematic transfer.
Why would anyone want ANY Florida property business. “Good” business is forced to be severely underpriced and then there is the rest, still underpriced and unable to suffer “regular” loss ratios, much less the periodic cat losses. There is a reason it is easy to write. And why would a new carrier want to pick up business that caused liquidation? Perhaps the executives can start an insurance company, grow it and give themselves fat bonuses and then laugh all the way to the bank when the inevitable happens? I have seen this over an over for many years.
I’m sure it was some backroom deal between St. Johns and Slide. The state probably went along with it because it caused the minimum disruption for the policyholders and maintained their same rates and coverages. Also, anything that the other FL insurers didn’t want would probably flow right into Citizens whereas Slide is taking the whole book.
Is it a bad deal for the other insurers? Yes. Assuming Slide can pull it off, is it better for policyholders? Probably yes as well.
I think people are overlooking an additional party in this. Demotech had to remove St John’s A rating and provide an A rating to Slide for them to be able to take on all this business. Something seems kind of fishy on that front. Are they playing matchmaker?
Insure tech startups have been going directly to Demotech to get blessed for the Florida market because making friends with Joe Petrelli is almost a guarantee that Florida carriers are going to pick you up to appease the only ratings agency that will provide you an A rating. I think he’s even participated in promotional events for a company called CaseGlide. With Demotech pushing insure tech’s and making money off consulting engagements with insurers, it’s a bit concerning that they seem to be the only company willing to provide many Florida carriers an A rating. They have a lot of leverage. I hope they didn’t pull St. Johns rating to force them to sell their business off to Slide but they definitely have the ability to do it. Florida insurers better look to see if they can get acceptable ratings from other ratings agencies if they don’t want Joe P. telling them what they have to do to keep their jobs.
What’s the big deal. If one company wants to take the whole book, that benefits everyone. Versus other companies cherry picking what they want. New construction, no wind pool homes and no coastal homes. This will leave Slide to get the crap and then become insolvent within a year or two as well. You have to be able to balance. If other companies wanted their book, maybe they would have been better priced when we are requoting this book.
I don’t think people would care as much if Slide also took on the liabilities but if other insurers are left paying for St. Johns claims via an assessment from the Guarantee Fund, they would probably like a chance to receive some sort of benefit as well.
The liabilities would sink the new carrier. Post event reinsurance is not something they just give away anymore and I doubt they’d find a partner to share in these losses.
as i recall they seemed to write all the newer homes as masonry non-combustbile while most carriers were writing them as masonry a 10-20% in rate on average —seems like they were never getting the proper rate and thus it caught up with them.
I just received my notice regarding this and Slide has basically doubled my premium that I had with St. Johns. So i basically lost the 100% payment that I made and will have to pay that to a new insurance company.
My Ins. Co. moved my policy from St Johns to Slide, and I had no options. The coverage went down and the premium increased. I contacted Slide direct, and they informed me that coverage is not provided in my area. So, what is it, another Scam? I’m beginning to put Insurance companied in the same category as gov’t, medical and legal professions.
Slide Insurance issued me a bad check on 6/3/2022 for the amount of my premium refund of 966.00. How can an insurance company issue bad checks? I have been trying to get my refund and a good check since. I am being told its an issue that they are working on. This is unacceptable on sow many levels. What do i have to do to get a good check from this company that owes me!
My home owners insurance company UPC was absorbed by Slide Insurance Agency in March of 2023. I received my renewal notice and the my policy price increased from $2474 last year to $3951 for the coming year. I found replacement coverage and called to cancel my remaining policy term with Slide. I was told by Slide that I could not cancel my remaining policy. That only my agent could do that. And that it is Slides policy that I prove proof of new coverage before cancellation would be considered. I question that policy and consider it to be harassment and intimidation on that Slides part. I am canceling my coverage a month early. They have been notified and I fully expect a refund of the remaining portion of my premium. $2474 divided 12 equals $216.16. Our home is paid for free and clear. If we have insurance coverage or not is completely our choice.
This is a shell game. The politicians in Florida are corrupt as the day is long. These companies going “insolvent” is theater. Track down the money and you will find it all goes back to a handful of bigger corporations. You create a crisis and then jack the rates up. The reality is the insurance industry makes enough sheer profit in just one year to rebuild every waterfront property in the entire nation, twice, and it wouldn’t barely impact their profit margin. This is just baseless endless greed. People think it’s just the Democrats who never let a crisis go to waste but the republicans are just as guilty and far more shifty about it. Same with our broken hospital systems. The republicans refuse to regulate safe staffing rations instead deferring to the big corporations that own the hospitals. As a result nurses not only don’t make a living wage in Florida but they work in unsafe conditions for both the nurses and the patients sometimes carrying patient loads nearly twice what is considered in the entire industry to be safe. Again, our politicians are more concerned with policing the profit margins of these hospital corporations than worrying about safe patient care. The same with auto insurance. Unfortunately Florida is one of the most corrupt states I’ve lived in as far as crony capitalism. It’s become unaffordable to live here. The goal is to make it the next California. Only the rich people will be able to afford to live here in comfort. Everyone else who waits on them will struggle week to week.
Sorry Florida HO CEO’s, you can have all the new business (underwritten and without flaws or issues) you want from us quality agents. But, you guys all say that every policy = 120% combined ratio with devastating legal fee losses. Which is it? Do you really want 160,000 poorly performing St. John’s policies? You are all essentially closed for new business in most of the vital growing areas of Florida. So, if you want new business, you know how to get it and complaining about Slide just makes you look whiny and unprincipled. You should be focused on surviving 2022, cleaning up underwriting issues, right-sizing your reinsurance programs, shoring up surplus and reserves and getting ready to spring into action in 2023. Let Slide have the biz, they will probably be howling in 18 months about buying all their new found policyholders a new roof.
It’s not so black & white. St. Johns had very strict UW Guidelines (was one of first FL carriers to not accept any roof > 10 years old) and evidently inadequate rates. Because St. Johns had a lot of newer roofs on the books – they cry foul over not getting a fair shot at the business as is the typical procedure when a carrier enters liquidation.
Safe to say all of these remedial activities outlined are being pursued. I’d be mad if I was denied an opportunity to offer these good risks properly rated policies if I was in their shoes too.
I do wonder how Slide was able to lock down a deal so quickly. Were other companies notified or given an opportunity to respond with their own offer? Would it had made sense to split this 2 or 3 ways, if possible, instead of giving it all to a virtual unknown? Based on the reduced appetite for business by the majority of companies I do understand that very few would have been interested. One observation – Agents have been fighting the trend for years on how to keep personal lines from turning into a “commodity”. This doesn’t help. One of the largest expenditures a consumer makes, and a very important one, has been controlled by the OIR and coverage has been shifted to a new, untested carrier. It’s not their fault, policyholders needed immediate assistance, it’s just a bad look for Florida property insurance overall.
1) Back-room deal(s).
2) No
3) Yes
4) No, any incumbent carrier paying attention would have been interested.
Insurance is already commoditized, packaged, and sold to third parties & has been for years. It’s just called Reinsurance. Fully agree it’s not a good look on the state regulators to agree to transfer any of these policies to a start-up BEFORE approving their license to do business in the state.
It was always my impression that St. Johns ran a tight ship. Demotech numbers never showed huge profits even in the best of years though.
Would a murderer ever admit their alibi smells fishy? Of course Lucas denies any wrongdoing. Good on the incumbents for calling out this problematic transfer.
Why would anyone want ANY Florida property business. “Good” business is forced to be severely underpriced and then there is the rest, still underpriced and unable to suffer “regular” loss ratios, much less the periodic cat losses. There is a reason it is easy to write. And why would a new carrier want to pick up business that caused liquidation? Perhaps the executives can start an insurance company, grow it and give themselves fat bonuses and then laugh all the way to the bank when the inevitable happens? I have seen this over an over for many years.
I’m sure it was some backroom deal between St. Johns and Slide. The state probably went along with it because it caused the minimum disruption for the policyholders and maintained their same rates and coverages. Also, anything that the other FL insurers didn’t want would probably flow right into Citizens whereas Slide is taking the whole book.
Is it a bad deal for the other insurers? Yes. Assuming Slide can pull it off, is it better for policyholders? Probably yes as well.
I think people are overlooking an additional party in this. Demotech had to remove St John’s A rating and provide an A rating to Slide for them to be able to take on all this business. Something seems kind of fishy on that front. Are they playing matchmaker?
Hey Guy, nice name. Also, you might be onto something here.
Insure tech startups have been going directly to Demotech to get blessed for the Florida market because making friends with Joe Petrelli is almost a guarantee that Florida carriers are going to pick you up to appease the only ratings agency that will provide you an A rating. I think he’s even participated in promotional events for a company called CaseGlide. With Demotech pushing insure tech’s and making money off consulting engagements with insurers, it’s a bit concerning that they seem to be the only company willing to provide many Florida carriers an A rating. They have a lot of leverage. I hope they didn’t pull St. Johns rating to force them to sell their business off to Slide but they definitely have the ability to do it. Florida insurers better look to see if they can get acceptable ratings from other ratings agencies if they don’t want Joe P. telling them what they have to do to keep their jobs.
Ok, we’ll let this one slide…
What’s the big deal. If one company wants to take the whole book, that benefits everyone. Versus other companies cherry picking what they want. New construction, no wind pool homes and no coastal homes. This will leave Slide to get the crap and then become insolvent within a year or two as well. You have to be able to balance. If other companies wanted their book, maybe they would have been better priced when we are requoting this book.
I don’t think people would care as much if Slide also took on the liabilities but if other insurers are left paying for St. Johns claims via an assessment from the Guarantee Fund, they would probably like a chance to receive some sort of benefit as well.
The liabilities would sink the new carrier. Post event reinsurance is not something they just give away anymore and I doubt they’d find a partner to share in these losses.
It’s all about who you know.
as i recall they seemed to write all the newer homes as masonry non-combustbile while most carriers were writing them as masonry a 10-20% in rate on average —seems like they were never getting the proper rate and thus it caught up with them.
I just received my notice regarding this and Slide has basically doubled my premium that I had with St. Johns. So i basically lost the 100% payment that I made and will have to pay that to a new insurance company.
My Ins. Co. moved my policy from St Johns to Slide, and I had no options. The coverage went down and the premium increased. I contacted Slide direct, and they informed me that coverage is not provided in my area. So, what is it, another Scam? I’m beginning to put Insurance companied in the same category as gov’t, medical and legal professions.
Did Slide have an inside track to be able to take SJ policies so quickly? Just curious, but are Bob Lucas of SJIC, and Bruce Lucas related?
Just wondering if Robert Lucas of St. John’s and Bruce Lucas are related?.
Slide Insurance issued me a bad check on 6/3/2022 for the amount of my premium refund of 966.00. How can an insurance company issue bad checks? I have been trying to get my refund and a good check since. I am being told its an issue that they are working on. This is unacceptable on sow many levels. What do i have to do to get a good check from this company that owes me!
My home owners insurance company UPC was absorbed by Slide Insurance Agency in March of 2023. I received my renewal notice and the my policy price increased from $2474 last year to $3951 for the coming year. I found replacement coverage and called to cancel my remaining policy term with Slide. I was told by Slide that I could not cancel my remaining policy. That only my agent could do that. And that it is Slides policy that I prove proof of new coverage before cancellation would be considered. I question that policy and consider it to be harassment and intimidation on that Slides part. I am canceling my coverage a month early. They have been notified and I fully expect a refund of the remaining portion of my premium. $2474 divided 12 equals $216.16. Our home is paid for free and clear. If we have insurance coverage or not is completely our choice.
This is a shell game. The politicians in Florida are corrupt as the day is long. These companies going “insolvent” is theater. Track down the money and you will find it all goes back to a handful of bigger corporations. You create a crisis and then jack the rates up. The reality is the insurance industry makes enough sheer profit in just one year to rebuild every waterfront property in the entire nation, twice, and it wouldn’t barely impact their profit margin. This is just baseless endless greed. People think it’s just the Democrats who never let a crisis go to waste but the republicans are just as guilty and far more shifty about it. Same with our broken hospital systems. The republicans refuse to regulate safe staffing rations instead deferring to the big corporations that own the hospitals. As a result nurses not only don’t make a living wage in Florida but they work in unsafe conditions for both the nurses and the patients sometimes carrying patient loads nearly twice what is considered in the entire industry to be safe. Again, our politicians are more concerned with policing the profit margins of these hospital corporations than worrying about safe patient care. The same with auto insurance. Unfortunately Florida is one of the most corrupt states I’ve lived in as far as crony capitalism. It’s become unaffordable to live here. The goal is to make it the next California. Only the rich people will be able to afford to live here in comfort. Everyone else who waits on them will struggle week to week.