Insurers Can Resume Dropping Customers
Insurance regulators Monday agreed to allow companies to resume canceling policies once their new rates were filed with the state. That rate filing deadline is March 15th.
That rule - issued by the Florida Office of Insurance Regulation - prompted the Florida Insurance Council to drop all its legal challenges.
But, Council Executive Vice President Sam Miller wouldn't go so far as to say insurers would reconsider non-renewals.
MILLER: It's up to each of these companies that has announced that they weren't writing new business. But, we are hopeful.
Regulators also will give insurers guidelines to reduce premiums, but a company does not have to use the state's calculations if it can justify its rates says Miller.
MILLER: In the event though, somewhere down the road, OIR (Office of Insurance Regulation) says, oh well, that's not appropriate you should have gone with a different number, our number, whatever. Then, we have to makes refunds. So, consumers are protected but then companies are also given the flexibility to reduce their rates to what they believe is really the appropriate amount.
If insurers resume canceling policies, they now must give policy holders 100 days notice.
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