Open the markets. Slack off on the restrictions. Competition forces rates down, losses force them up. The balance of the two forces will put the rates where they need to be.
If a company prices too high their assets don\’t produce because they won\’t be selling. If they price too low they won\’t make money because the losses will exceed income. It is the most efficient price control.
All the legislating that has been going on only provides more reasons not to be doing business in Florida.
I do not understand why homeowners are against Citizens. I work in the property casualty market and I can tell you money has been lost on our end too due to companies pulling out of the state and non renewing all of the policies we have written and serviced for years. After all these hurricanes and losses sustained by the industry Citizens was the only company to take on the book of business I had to rewrite due to the companies pulling out of Florida this is the same for most agencies in the state. Many consumers would not have anywhere to place there insurance if it were not for Citizens-me included! If anything Florida needs to work on their relationship with the companies that are pulling out. We need to be able to write some of these older homes and make it simple for the consumer as well. Working with Citizens they do take a lot of steps to make sure agents are not using them unless absolutely necessary. The cost of hiring workers to process the paperwork alone must be very high with Citizens. To summarize thank God for Citizens or alot of us in this state would have nothing to protect our assets. In the meantime I am praying that a resolution can be brought to the table to bring back our standard markets. But for now I can sleep at night knowing my clients have some type of coverage.
The $109,000 came from the same place as the other structures for $21,000 I do not have any other structures. Someone at Citizens sitting on their back sides decided my property is worth $212,000 without even looking at it and the contents are worth half of that amount, I have had a private appraisal which came in at $51,000 less, According to Citizens the only way you can lower your contents insurance is stop getting replacement coverage and go for depreciated value
One example of a reason to have an independent competitive business doing the insurance rather than a government commission.
I just had to say that.
Valuation is never an exact science. The valuation for replacement cost needs to be cost from the dirt up. Each company will use the valuator model they are content with. In the case of Citizens, since they aren\’t really competing in the marketplace, it\’s like the public school cafeteria – you get what\’s there.
I can still make some money and I have some savings to cover my insurance but I feel sorry for the people who are caught in a hard spot, they are trying to sell their houses but can\’t because of the high cost of insurance, some people have dropped their insurance but that spreads more of the cost to those who are still paying
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Open the markets. Slack off on the restrictions. Competition forces rates down, losses force them up. The balance of the two forces will put the rates where they need to be.
If a company prices too high their assets don\’t produce because they won\’t be selling. If they price too low they won\’t make money because the losses will exceed income. It is the most efficient price control.
All the legislating that has been going on only provides more reasons not to be doing business in Florida.
I do not understand why homeowners are against Citizens. I work in the property casualty market and I can tell you money has been lost on our end too due to companies pulling out of the state and non renewing all of the policies we have written and serviced for years. After all these hurricanes and losses sustained by the industry Citizens was the only company to take on the book of business I had to rewrite due to the companies pulling out of Florida this is the same for most agencies in the state. Many consumers would not have anywhere to place there insurance if it were not for Citizens-me included! If anything Florida needs to work on their relationship with the companies that are pulling out. We need to be able to write some of these older homes and make it simple for the consumer as well. Working with Citizens they do take a lot of steps to make sure agents are not using them unless absolutely necessary. The cost of hiring workers to process the paperwork alone must be very high with Citizens. To summarize thank God for Citizens or alot of us in this state would have nothing to protect our assets. In the meantime I am praying that a resolution can be brought to the table to bring back our standard markets. But for now I can sleep at night knowing my clients have some type of coverage.
HAC has a site at http://www.HACFL.org, and there is another one devoted to the insurance crisis at http://www.floridahomeownerinsurances.com/Homeowners_Against_Citizens_HAC.html
It is human nature to resent those things and people we depend on most.
I may be an uninformed consumer but when my furniture and clothes are valued by Citizens for $109,000 something is wrong
Where did $109,000 come from?
The $109,000 came from the same place as the other structures for $21,000 I do not have any other structures. Someone at Citizens sitting on their back sides decided my property is worth $212,000 without even looking at it and the contents are worth half of that amount, I have had a private appraisal which came in at $51,000 less, According to Citizens the only way you can lower your contents insurance is stop getting replacement coverage and go for depreciated value
One example of a reason to have an independent competitive business doing the insurance rather than a government commission.
I just had to say that.
Valuation is never an exact science. The valuation for replacement cost needs to be cost from the dirt up. Each company will use the valuator model they are content with. In the case of Citizens, since they aren\’t really competing in the marketplace, it\’s like the public school cafeteria – you get what\’s there.
I can still make some money and I have some savings to cover my insurance but I feel sorry for the people who are caught in a hard spot, they are trying to sell their houses but can\’t because of the high cost of insurance, some people have dropped their insurance but that spreads more of the cost to those who are still paying