Maybe I'm going a little old-school with this reference, but it appears that the man from Nationwide is indeed, NOT on your side. Like other insurers used to a free-pass from their shills in the state capital, Nationwide is looking for some more revenue and wants to increase rates. This time, they took it to whole other ballfield: they approached the state insurance commission with a request for 71.5% increase. Oops.
'Florida Insurance Commissioner Kevin McCarty said Wednesday he plans to reject an average 71.5 percent statewide homeowners insurance rate increase proposed by Nationwide Insurance Co. of Florida.
In a notice to Nationwide, regulators said the insurer has failed to provide sufficient data to justify the planned Nov. 10 increase and its intended 15 percent profit.
Supporting data are necessary, especially in a period when Florida residents are feeling the pinch of rising insurance rates, McCarty said in a statement. '
Wow - somebody in Tallahassee standing up for consumers? What alternate universe have we travelled to?
'"In such an environment, insurers must redouble efforts to fully and completely support all requests for increased rates, and that has absolutely not been done in this case," McCarty said.
"The filing contains proposed hurricane rate hikes in excess of 300 and 400 percent for some territories, which are entirely unsustainable."'
Oh, but suddenly, it all becomes clear - we're in an ELECTION year. AND, guess what the #1 issue with voters in Florida this year? Yep, the insurance crisis.
So, back to the story of our friends at Nationwide. With this slap in the face, now what are they going to do?
'It's unclear whether Nationwide will further withdraw from the troubled Florida insurance market because of the state's rejection.
Citing major hurricane losses, Nationwide announced in August 2005 that it was shedding 35,000 homeowners policyholders and its entire book of more than 1,000 condominium associations, and that it will not write any new homeowners or condo insurance policies in Florida. '
Nice guys, huh?
Full Article: Nationwide Rejected