Spring has sprung in Florida. Now is the time to review your policy(ies), update your inventory lists with any new purchases, and get your coverage updated, as needed. Some of you may have received your, “State Farm is leaving notices”, and be shopping for a new company. Others may be considering a premium quote to see if rates are better now that we hear about more new companies entering the market.
When considering a move to a new “start up” Florida carrier, be careful of the size and solvency issues. Last month Insurance Commissioner Kevin McCarthy told People’s Trust Insurance Company, www.peoplestrustinsurance.com, to stop writing policies. According to the Commissioner, the company wrote more policies that its ability to pay claims. http://www.baynews9.com/content/36/2009/3/18/449903.html
Consumers can get some background and financial information about a potential insurer at the National Association of Insurance Commisioners’ website: https://eapps.naic.org/cis/ .
As you ready for the season, do consider the size and solvency of the insurer you select. There may be state-sponsored protection for a failed carrier, but this protection is limited and likely to mean delay in any claim payments if your carrier is underwater after the storm.