Florida insurer asking for 27% rate hike

As insurers all over the country continue to receive criticism from policyholders, and even then federal government, many of them continue to seek rate increases. Fidelity National Property and Casualty Insurance of Jacksonville, Florida, is proposing a rate hike of 27%. The proposal is a move to recoup the monetary losses of last year, according to vice president John Giorgianni. State regulators are currently reviewing the proposal and it may be subject to additional review by the Department of Health and Human Services. Giorgianni insists that the rate hikes is…

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New limitations on Florida sinkhole insurance imposed

Florida Governor Rick Scott has signed off on a bill that will change the state’s property insurance regulations. The bill was proposed several months ago and has been the subject of controversy since its introduction. Opponents of the bill call its provisions “anti-consumer.” State officials, however, say that the bill is a necessary measure to combat fraud. The Governor approved the law only six days after it arrived on his desk, drawing the ire of a number of consumer advocacy groups who stood in opposition of it. The new law…

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Recent ruling sets presidence for future drywall lawsuits

A recent ruling by a Florida judge may set precedence for other possible lawsuits. A Florida couple sued their home insurer for refusing to pay for repairs needed after contaminated drywall used to build their home ruined electrical wiring, air conditioner coils and pipes.  The insurance company, based in Springfield Illinois, argued that the damages weren’t covered due to the “wear and tear” clause, and the “defective materials” clause. The judge deemed that the drywall material wasn’t defective because it could serve its function. However, because the drywall material also…

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Hopes that new Florida insurance bill will solve fraudulent sinkhole claims issue

Florida Insurance Commissioner feels certain that Governor will sign SB 408 into law. The bill pertains to property and casualty insurance and directly effects property insurance coverage and overhauling a system vulnerable to fraudulent claims. Property insurers have had to increase rates in efforts to keep up with mounting sinkhole claims, rising reinsurer fees and other issues that are pushing costs through the roof. However, with the passing of SB 408, much of that is likely to change. Bill 408 directly goes after what many insurers and several Lawmakers consider…

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Toxic Chinese drywall battle continues

There has been a dispute raging in Florida regarding damage done to properties using toxic, Chinese-made drywall. Many insurance companies have denied payment for damaged properties that make use of the material, leaving many homeowners to shoulder the cost of rebuilding after any kind of disaster. The material has also been the cause for some health issues, adding yet another facet to the already murky context of insurance coverage.  However, a Florida judge has recently issued a ruling that could change all that. In the wake of Hurricane Katrina, many…

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