Bad Neighbor: State Farm Seeks Huge Rate Hike

Florida Insurance Florida's largest private insurer of homes wants to raise your premium by 47%.

by The Associated Press

Published: Wed, July 16, 2008 - 12:50 pm CST Last Updated: Wed, July 16, 2008 - 12:55 pm CST

TALLAHASSEE, Fla. (AP) - State Farm is seeking a 47.1 percent
rate increase in homeowners' policies in Florida.

The Illinois-based company is the largest private homeowners'
insurer in Florida with roughly 1 million customers.

State Farm spokesman Justin Glover says the company has spent
roughly $1.20 for every dollar collected in premiums in Florida
since 2000 and the big increase was necessary to stabilize its
Florida operation.

A spokesman for the state Office of Insurance Regulation says
the filing is being thoroughly reviewed and that a public hearing
on the State Farm filing will be held next month.

(Copyright 2008 by The Associated Press. All Rights Reserved.)

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southfan1981 Says:

Wed, Jul 16, 2008 at 2:53 pm

I bet the people in FIRESIDE canyons aren’t denied for WIND DRIVER FIRES. Kansas is prone to tornadoes, the surrounding areas of the Mississippi have their own issues and folks up Nawth have roof collapse due to snow. Raise the rates and make up for it is what they are telling us. Insurance is about PROFIT. If they were not making a profit, they would not do it.

Tide Fan Says:

Wed, Jul 16, 2008 at 2:20 pm

They dont do it..Atleast im not aware anyway, in areas of major fires…California for example….Are their premiums going up at the same rate??

southfan1981 Says:

Wed, Jul 16, 2008 at 1:50 pm

This sounds normal to me. One area of the country seems to have focused disaster claims while other areas are free and clear for years, then the stuff begins to hit the fan. The premiums in one state do not offset the claims in that ONE state.

Tide Fan Says:

Wed, Jul 16, 2008 at 1:46 pm

That is the easiest way to force people to drop coverages. They simply dont want to insure these homes…IMO…It is ” legal ” organized crime…