Slide Will Assume 91,000 Policies and Premium in United P&C Runoff in Florida

By | February 1, 2023

One year after Slide Insurance made waves by taking over thousands of policies from a troubled Florida carrier, the young company has done it again.

The Florida Office of Insurance Regulation on Tuesday signed a consent order granting Tampa-based Slide some 72,000 HO-3 and DP-3 policies from United Property & Casualty Insurance Co., and the renewal rights on another 21,000 United policies that renew this spring. That’s about three-fourths of UPC’s book of business in Florida.

In February 2022, the startup Slide, helmed by former Heritage Property & Casualty Insurance Co. founder Bruce Lucas, was quietly allowed to take over 147,000 policies and more than $90 million in unearned premium from St. Johns Insurance Co., which had been deemed insolvent.

The St. Johns move ruffled some feathers in the Florida insurance world and other carriers’ executives said they had not been given a chance to bid on St. Johns’ policies.

The difference this time is that United is in an orderly runoff – not insolvency – and United leadership was free to make a private deal with Lucas. Still, industry leaders said Wednesday that Lucas and Slide seem to have a knack for being on the inside track with regulators in cases like this.

“He’s also confident he can secure reinsurance on that book of business by June 1,” at a time that reinsurers have more than doubled some prices and placed new restrictions on terms and conditions, one insurance executive said.

The annual premium on the polices acquired by Slide are expected to be as much as $272 million, Slide said in a news release Wednesday morning.

Officials with the Florida Association of Insurance Agents were instrumental in brokering the transfer, giving agents more options for United policyholders and perhaps creating little or no disruption in coverage.

“Over the past several months, FAIA has been working to find solutions for agents impacted by UPC’s decision to non-renew their personal lines book,” reads a statement from Kyle Ulrich, president of the association.

United will now cancel most of its policies today, Feb. 1, and Slide will immediately issue replacement policies on the same forms, duration and premium until the policies expire, the FAIA explained. Slide renewals will use Slide’s rates and forms.

Agents will be able to retain pre-paid commissions, but will have to return unearned commissions if a policy is canceled before expiration. Premiums paid in full will be transferred to Slide.

FAIA suggested that United policyholders are now in good hands with Slide.


“Slide executed a similar transaction with St. Johns Insurance Co. last year,” the association noted. “It was widely regarded as a success for agents and policyholders alike.”

Agents should do their due diligence but should “strongly consider” leaving the policies in place and accept the appointment offered by Slide, FAIA wrote.

Lucas could not be reached for comment early Wednesday, but a press release from Slide said the move is part of an expansion for the company, which was founded partly as an insurtech less than two years ago. Slide will also acquire United’s intellectual property rights and a dataset of more than $1 trillion in total insured value. The company also has opened for new business in Florida for the first time.

“The December legislation passed by the Florida Legislature has given us confidence that now is the time to expand our presence in the state,” Lucas said in the release.

Slide also recently closed on a $105 million funding round and has brought on 100 new employees.

Slide was ranked 17th-largest Florida p/c carrier for the third quarter last year, according to OIR data. It had almost 103,000 policies in force and $340 million in direct premium.

The deal for United may have been months in the making. United officials announced in August that the company had begun an orderly runoff after years of heavy losses. It was unable to find a buyer or merger with another carrier. In December, OIR signed off on an orderly run-off plan that gave policyholders an extra two months of notice on UPC cancellations.

The OIR consent order for Slide, filed in Leon County Circuit Court in Tallahassee, said that United had received a number of proposals for transitioning its policies. The deal with Slide proved to be the most viable plan.

“The office finds that the agreement submitted by United provides the most comprehensive protection for a majority of policyholders as well as being responsive to regulatory requirements,” the consent order reads.

At Heritage Property & Casualty, Lucas completed three similar cancel/rewrite transactions with Sunshine State Insurance, Sawgrass Mutual Insurance Company, and St. Johns Insurance Company.

Slide will not assume any outstanding claims from United policyholders filed prior to Feb. 1. All of those will remain the sole obligation of United, OIR said.

Topics Florida Property Casualty

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