State Farm Says Bye To Florida
The announcement by State Farm has been expected since state insurance regulators rejected the company's request for a 47 percent rate increase two weeks ago. Michal Connolly, a company spokeswoman in their Winter Haven regional office, says they've lost hundreds of millions of dollars the past year. Connolly says even without a hurricane, State Farm's separate Florida subsidiary would face insolvency in two years.
Gov. Charlie Crist said the Legislature should revisit a proposal to require the company to forego insuring automobiles in the state unless they agree to sell homeowner's policies.
Florida Insurance Commissioner Kevin McCarty says his office has 90 days to approve the plan. He's working with state Sen. Mike Fasano of Pinellas County to craft legislation that would limit the number of non-renewals a company can issue in a year.
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