State Farm cancels wind discounts

[Greg Bell]

State Farm made a deal with the state that will allow them to stay in Florida. The deal allows a rate increase of over 14% and allows them to cancel all of the discounts given with the 1802 form. Looks like wind mits are going to be a thing of the past. Lets see how long it takes for other companies to follow.

http://www.floridatoday.com/article/...+lie+to+us+all?

[wsiegel]

Thats a fine how do you do

[Bruce M. Graham]

Thats going to smell for a while.

[Joseph Burkeson, CMI]

Wow!

[gbeaumont]

Originally Posted by gbell

State Farm made a deal with the state that will allow them to stay in Florida. The deal allows a rate increase of over 14% and allows them to cancel all of the discounts given with the 1802 form. Looks like wind mits are going to be a thing of the past. Lets see how long it takes for other companies to follow.

http://www.floridatoday.com/article/...lie+to+us+all?

Hi Greg, I think that article has some inconsistencies try this one

http://www.heraldtribune.com/article...tay-in-Florida

Regards

Gerry

[Steve Taylor]

While I am not an attorney, It would appear that the OIR does not have the authority to release any insurer from complying with state statutes- specifically 627.711 which governs wind mitigation inspections. I think that the insurance industry would need to lobby legislators to introduce a bill that eliminates or modifies 627.711. I think that the OIR is charged with developing rules to implement laws that our esteemed legislators have created.

Steve Taylor
Taylor Inspection Services, Inc.
904-206-0370
www.taylorinspectionservices.com

[wsiegel]

Laws are made to be broken or ignored here in Florida. How many homes have you seen that have been retrofitted with straps. That law went into effect after Wilma (with some restriction). Most municipalities in South Florida chose to ignore it.

[Nick Gromicko]

Insurance rates are the first place where we are seeing signs of inflation.

[Michael Larson]

Originally Posted by gromicko

Insurance rates are the first place where we are seeing signs of inflation.

Hmmm!

Inflation of maintaining a deflating asset?

Here is what's happenig in the insurance market.

Many insurance companies saw the value of their investments decline over the last year, said Amy Bach, executive director of United Policyholders, a California-based group that advocates for consumers.
"That's the cycle we've seen forever," Bach said. "Whenever they're getting bad returns on their investments, they look for ways to make things up by raising rates or becoming more creative in restricting claims."

[ddipuglia]

Originally Posted by gbell

State Farm made a deal with the state that will allow them to stay in Florida. The deal allows a rate increase of over 14% and allows them to cancel all of the discounts given with the 1802 form. Looks like wind mits are going to be a thing of the past. Lets see how long it takes for other companies to follow.

http://www.floridatoday.com/article/...+lie+to+us+all?

hey greg is this a fact

[ddipuglia]

hey greg is this a fact

[Brian C. Hoagland]

After reading the two different articles I am more confused than before.

[Jose F. Uz]

Originally Posted by ddipuglia

hey greg is this a fact

All the insurance companies are looking for more $$$$$$--State Farm just took a different approach, they put pressure on our State’s regulators and negotiated down towards what they wanted to begin with, get rid of the Mitigation credits and hike up those premiums.

The other companies are taking a different approach, what they are doing is having the former WCE’s make a little extra money for themselves (you know since MSFH ended times are tough) while they check up on competitors. NICE!!!! The goal is the same; cut the mitigation credits—this is the way to drastically increase the premiums without having to go through the regulatory approval process. (Back door).

What is even better is that the State used $250,000,000 for the MSFH program to “Help homeowners” receive credits via the mitigation credits, and now after this
Misappropriation of our tax dollars the end result is that the homeowners are back to the same place and situation they found themselves in post Wilma. So, once again who was the only real winners—the once that cashed in those winning MSFH lotto ticket—the WCE’s.

To believe that we have sympathizers in our own house.

Jose’