Florida Farmers Insurance policies find new home after insurer’s exit
Florida Farmers Insurance policies find new home after insurer’s exit | Insurance Business America
Property
Florida Farmers Insurance policies find new home after insurer’s exit
Insurtech Slide acquires homeowners renewal rights for 86,000 customers
Insurtech Slide has picked up the renewal rights for 86,000 Famers Insurance (Farmers) homeowners policies in Florida, following the latter’s exit from its own-branded business in the state.
Farmers agents in Florida will be offered appointments with Slide, with renewals issued by the company set to begin in February 2024.
“The fact that Slide is picking up 86,000 policyholders is great news for those who were getting dumped by Farmers,” Florida Chief Financial Officer Jimmy Patronis said in a press release shared with Insurance Business. “It also demonstrates that carriers are finding more opportunities, in Florida’s insurance environment, after the reforms we enacted.
“The coverage that Slide will provide will make policyholders’ lives easier – and we’ll continue working to attract more carriers to Florida.”
Slide CEO “bullish” on post-reform Florida
Slide CEO Bruce Lucas said that the insurtech remains “bullish” on Florida’s insurance market, which has experienced a rash of insurance company insolvency and last year faced the impact of Hurricane Ian, estimated to have led to tens of billions in insured damages.
Florida lawmakers have brought in a package of reforms in a bid to stabilize the insurance market, with insurer of last resort Citizens currently home to more than 1.1 million in-force policies.
“The Florida Legislature, President Passidomo, Speaker Renner, Insurance Commissioner Michael Yaworsky and CFO Jimmy Patronis have been working in unison to stabilize the market,” Lucas told Insurance Business. “Their efforts are working and gives Slide renewed confidence to invest in Florida and continue to grow our business.”
Lucas pledged that homeowners will be able to “seamlessly” continue their coverage.
Earlier this year, Slide picked up renewal rights to 91,000 policies from failed UPC. It finalized its second $100 million catastrophe bond in July, and in June secured $35 million in additional capital through a Regions Bank senior credit facility.
Slide homeowners swoop does not affect Farmers auto, renters, or umbrella policyholders
Farmers confirmed its own-brand business departure from the state in July, with the exit affecting auto and umbrella insurance policies in addition to homeowners. Slide has not acquired renewal rights to the Farmers auto, renters, or umbrella business, the insurtech confirmed.
Florida was not the only state affected by Farmers changes, as the carrier shrunk it California appetite, joining big name rivals like Allstate and State Farm.
Got something to say about Slide’s swoop for Farmers Insurance’s homeowners renewal rights in Florida? Drop a comment below.
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