Force placed insurance most common in Florida

Forced Placed Insurance

California came in second for the state with the most premiums collected. According to sworn testimony regarding force placed insurance, before the United States Judicial Panel, Florida has the largest share of premiums from these policies. Its share was 35 percent of the entire country in 2011, equaling about $1.2 billion. The state was among the highest for home foreclosures in the country, and the majority of people whose mortgage payments defaulted also stopped paying their insurance premiums. This meant that many people had the force placed policies imposed in…

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Force placed insurance policies to be the topic of official questioning

Florida Homeowners Insurance

Florida regulators will grill Praetorian execs as well as those from two insurers. Regulators in Florida will be questioning executives of two insurers and Praetorian Insurance Company this week regarding their policies and behaviors regarding force placed insurance policies. Significant controversy has been growing around this form of coverage. These policies are imposed on homeowners by lenders when coverage on the mortgaged property has been allowed to lapse or expired, as they are often sold by companies whose rates are unregulated, by surplus lines insurers, or by companies that are…

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