Florida homeowners forced into new insurance company, CBS News investigation finds - CBS News

[TexasTowelie]

A new CBS News investigation revealed that many Florida homeowners have had their home insurance policies transferred out of the state-run insurance program, into dozens of small, private companies, without their consent or input. CBS News national correspondent Ash-har Quraishi reports.

[genxlib]

1. This has been going on for years

Happened to me twice starting probably 15 years ago. My neighbor is going through it now.

The state pool is an insurer of last resort. If someone on the private side will insure you, they kick you out. They will flat out give you away to some unknown company.

I get why they do it but there are questions about how solid these unknown companies are. The motivation for the state to reduce their risk pool leads to pressure to accept insurers that might not be top tier companies. And there has been a history of quickly rising premiums after the initial year. That is why I have been through the process twice because my first spinoff jacked up the rates in year 2 and there was a revolt to get back into the state. The most recent spinoff has been a little better but I don’t trust them. I just haven’t needed to make a claim.

[Ritabert]

2. Even with Citizens I was paying $7000 per year before I left the state.

The private companies were even worse.

[wolfie001]

3. I think my 2-bedroom condo here NW of DC (about 35 miles) is $75 a month

I combine it with my auto and a personal liability (just in case). Very reasonable. Those rates are INSANE!!!

[Ritabert]

4. It started after 2004 when we had Frances and Jeanne

Then 2005 brought Wilma and it was downhill from then on. Later storms just made it worse. No claims were made by us but we were 1 mile from the ocean.

[wolfie001]

5. That's too much for me

I wouldn't be able to sleep at night. Glad you're outta there. I'll never set foot in Florida again. Also, big no to Texas too. 2 states that have voted for too much suffering and stupidity.

[Ritabert]

6. Same here. I don't even drive through Texas on I-40 anymore.