Florida AOB abuse News

Florida’s Capitol Preferred to Shed Nearly 24K Policies; Regulator to Monitor Operations

Capitol Preferred Insurance Co., one of the top writers of homeowners insurance in Florida, has received approval from the state’s insurance regulator to shed 23,800 policies just weeks before the start of hurricane season. In a May 12 consent order, …

Update: Demotech Evaluating 2019 Results of Florida Carriers, Expects ‘Many’ Downgrades

Ratings agency Demotech is currently reviewing the 2019 fourth quarter earnings and year-end financials of the Florida insurers it rates after indicating in January that several Florida domestic insurers could receive rating downgrades. Demotech President Joseph L. Petrelli provided the …

Florida Carriers Seek Staggering Rate Increases Amid Market Turmoil

It’s no surprise that Florida carriers are raising homeowners’ insurance rates given several years of catastrophes and losses from litigation related to assignment of benefits and water damage claims. What may be surprising for insureds, however, is how substantial the …

An Update on Florida Insurer Downgrade Situation: Demotech Commentary

Demotech began involvement with the Florida homeowners’ insurance market at the State of Florida’s invitation in 1996 and today reviews and rates 46 insurers that write approximately 66% of Florida’s homeowners’ insurance premium. While Demotech reviews and rates 403 entities …

More Than a Dozen Florida Insurers Facing Ratings Downgrades

The rating agency responsible for assigning financial stability ratings (FSR) to more than 40 Florida domestic insurers has warned that several carriers will receive downgrades due to deteriorating conditions in the state’s property insurance market, and more than a dozen …

Florida Supreme Court Dismisses Long-Awaited Case on AOB Policy Language

The Florida Supreme Court has reversed course and decided not to hear a controversial case regarding the validity of certain language around assignment of benefit agreements, instead ruling that a law passed by the Florida Legislature this session, and which …

Challenges Facing the Florida Insurance Market: A Reinsurer’s Perspective

Hurricanes Irma and Michael served as a reminder that Florida, more than any other state, is at risk of one of the most intense natural perils, namely hurricanes. The existence of a stable insurance market providing its customers with a …

What Passed, What Didn’t: New Florida Laws Taking Effect July 1

The Florida Legislature looked at and passed many pieces of legislation in the 2019 session that will impact the insurance industry. The following are summaries of what passed — and what didn’t. What Passed HB 7065 – AOB Reform Provides …

Florida’s Citizens Revises 2019 Rate Filing; Will Request 2.3% Statewide Rate Increase

Citizens Property Insurance Corporation’s Board of Governors has approved a revised 2019 rate proposal that the company said reflects recent legislative changes that targets the ongoing abuse of assignment of benefit agreements and will reduce unnecessary litigation responsible for driving …

What to Expect from Florida’s AOB Reform Law Taking Effect July 1

The countdown is on for Florida assignment of benefits (AOB) reform that will take effect July 1, and the insurance industry is getting ready to respond to new requirements as a result of the law as well as evaluating how …