State Farm Ditches More Floridians
Florida residents and the insurance industry do not have a happy relationship. Let’s just say that insurance companies will do almost anything to not have to cover homeowners here in the state, despite the fact that we have not had a devastating hurricane here in years. One insurance company even tried to justify their recent rate increases by saying Global Warning is causing them to have to up prices.
It’s a bunch of crap. These same insurance companies are simply greedy and prefer to go after the lower risk policies, like cars and trucks, and cherry pick the less risky homeowners.
Now 50,000 State Farm customers in Florida (most of them in Sarasota, Manatee and Charlotte counties) are the latest casualties of the greedy insurance industry. Their hurricane coverage will not be renewed by State Farm this year.
Most will turn to Citizens Property Insurance Corp., the state-run insurer. And while Citizens has always been more expensive in the past, recent rate freezes might actually means these former State Farm customers will save money.
Florida lawmakers keep trying to pass laws to protect homeowners. Insurance lobbyists are snakes in the grass, often tripping up the good intensions of the policy makers. In the end, most insurance companies pay consulting companies to find loopholes, and then they just keep upping prices and dumping riskier homeowners.
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