Universal Insurance Company of North America, Southern Fidelity Insurance Company and Gulfstream Property and Casualty Insurance Company are ending thousands of policies around the state.
Crisis in Florida homeowner insurance market grows
Thousands of customers will be dropped in coming weeks
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DAVIE, Fla. – The storm clouds over Florida’s home insurance market continue to grow ever darker.
Three more companies have now been approved by the Florida insurance commission to drop more than 50,000 customers, some in a matter of weeks.
In the next 45 days, University Insurance Company of North America will drop more than 13,000 customers and Gulfstream Property and Casualty will cancel over 20,000 policies.
Southern Fidelity Insurance Company was approved to non-renew nearly 20,000 homeowner policies over the next 14 months.
“There are already some insurance companies that have declared bankruptcy. They’re already out of the business here in Florida, some of them have been canceling the policies, some of them are not renewing, some of them are just leaving the state,” said Mauricio Giraldo of Horizons Insurance and Financial Services in
Three Florida based insurance companies will be canceling thousands of homeowner policies, in what state insurance regulators called an "extraordinary" measure to allow the companies to avoid financial collapse. Most of the canceled customers will have no choice but to turn to state-owned Citizens Property Insurance Corp., ratcheting up fears that Citizens' growth could make all Florida insurance customers vulnerable to surcharges if Citizens can't afford to pay all claims after a catastrophic hurricane season.