Insurance increase

[wrobert]

USAA is one of the most solvent carriers in the country. What Crist needs to do is penalize them for pulling out of the State of FL and tell them they cannot write any lines (period) in the state for ten years.

The insurance issue in FL needs someone to be tough. No Cherry Picking - but then again, the powers that be not only allow this business practice, but condone and enable it.

Then we need to Keep Charlie Crist : Florida Governor.

 

[wrobert]

I'm sorry, but USAA should have been given the courtesy of explaining their position to Governor Christ. NO INSURANCE COMPANY should be allowed to sell ANY kind of insurance if they refuse to offer Hurricane Coverage to their clients. At least USAA asked for a hearing before cancellation, Lynnie. Many others did not, they just dropped certain coverages. You are right about the "cherry picking" but its not just one company, its all of them.

I have a novel idea. Let them increase the rates to whatever they want, and if people do not want to pay them, they can go somewhere else.

 

[Bob]

I hold strong to my beliefs on the cherry picking across ALL carriers and I am not picking on USAA or you.

The carriers have gotten away with a lot in FL and the State needs let them know that the game is over.

Other than that, I would need to see all of the information before agreeing or disagreeing on this issue with USAA. You're right, they are considered the best of the best......no storms for the last two years and they need to increase wind coverage premium? Could they be trying to make up for losses in the western states' floods? Or, something else?

Crist was probably doing the right thing on this one as if they increase their premium, then a precendent has been set for other carriers.

i'm not picking a fight here. usaa is an association, not your run of the mill insurance company. as a member of the association, most members have a savings account funded by declared dividends and profits from paying premiums. membership in usaa is not open to the general public, and the company did not aggressively pursue higher premiuims after '04. they got caught by their bad timing in asking for a hike, so they are reducing their florida exposure. the folks taking the beating here are the ones at the coast or having second homes. it's a lousy, unfair deal, and i predict it's going to get worse.

 

[Bob]

My premiums have dropped dramatically over the last two years for hazard and wind.

Was it a substantial increase or a nominal increase like Andy suggested?

i can't remember the letter i received, but it was above the cap allowed at the time....they should have bumped sooner.

 

[Lynnie]

i'm not picking a fight here. usaa is an association, not your run of the mill insurance company. as a member of the association, most members have a savings account funded by declared dividends and profits from paying premiums. membership in usaa is not open to the general public, and the company did not aggressively pursue higher premiuims after '04. they got caught by their bad timing in asking for a hike, so they are reducing their florida exposure. the folks taking the beating here are the ones at the coast or having second homes. it's a lousy, unfair deal, and i predict it's going to get worse.

Oh Bob, I know you aren't picking a fight and neither is Andy or Robert (??) or myself.

From a business perspective, there has to be uniformity in FL. If legislatively there are no increases in wind coverage, that's it. Period. And, this is exactly the toughness we need to strike the balance in FL and shift to fair business practices.

It might seem unfair that USAA can't get their increase. They'll have to make it up elsewhere. Incidentally, I am completely familiar with USAA as my Daddy was an Officer.

On an 865 sq. ft. cottage, my premium was over $3,000/yr. Citizens arbitrarily handed me off to No Name Carrier who had only been in business two years and WASN'T EVEN RATED! (I had no say in this. Think that is fair? Guess who was Governor and guess who let the carriers run wild in the State?!) My premium went up to almost $6,000/year. I painstakingly spent hours on the phone shopping the coverage, made countless calls to the capitol and fought it. I won.

I have been passionate about fair practices with regard to insurance since Bush was Gov.

Fair means fair, not fair in 2005 for some and fair in 2009 for one other. Fair means fair.

USAA will survive. I feel badly for you guys being cancelled; I've been there and it's scary coming up on hurricane season. In FL, it's not the first time and I do hope it's last.

 

[Andy A]

I have a novel idea. Let them increase the rates to whatever they want, and if people do not want to pay them, they can go somewhere else.

That sounds fine to me. Having been with USAA since 1965, I feel sure the won't scam their clients nor lose many of them.

 

[wrobert]

That sounds fine to me. Having been with USAA since 1965, I feel sure the won't scam their clients nor lose many of them.

But Andy you are a reasonable person who understands that companies who take risks must get rewards. Many here want to live on the gulf and have those of us who choose not to live on the gulf, subsidize their insurance so they can enjoy a wreckless lifestyle with no economic pain.

 

[Andy A]

But Andy you are a reasonable person who understands that companies who take risks must get rewards. Many here want to live on the gulf and have those of us who choose not to live on the gulf, subsidize their insurance so they can enjoy a wreckless lifestyle with no economic pain.

I have only this to say, wrobert. If all insurance companies were as well run and judicious about their rates and claims as USAA we wouldn't be in this mess. They are divided into areas and the people insured in Indiana don't pay for our hurricanes in Florida. By the same token, we don't pay for their floods. Personally, I think all insurance risk should be spread between all policy holders. In my mind, that was the original idea behind casualty insurance. It doesn't work that way, though. If it were done where everybody assumes the same amount of risk, it wouldn't matter where you lived. We haven't had a hurricane since 2005, I have never filed a claim for wind damage and I certainly don't consider my lifestyle reckless because I live on the gulf. As far as economic pain is concerned, I've had more than my share during my lifetime.

 

[Lynnie]

But Andy you are a reasonable person who understands that companies who take risks must get rewards. Many here want to live on the gulf and have those of us who choose not to live on the gulf, subsidize their insurance so they can enjoy a wreckless lifestyle with no economic pain.

Please tell me you aren't serious with this statement. Wreckless would be someone not insuring their home..... or, buying in a COBRA zone (COBRA zone purchases in my opinion are wreckless and probably not for others).

I have only this to say, wrobert. If all insurance companies were as well run and judicious about their rates and claims as USAA we wouldn't be in this mess. They are divided into areas and the people insured in Indiana don't pay for our hurricanes in Florida. By the same token, we don't pay for their floods. Personally, I think all insurance risk should be spread between all policy holders. In my mind, that was the original idea behind casualty insurance. It doesn't work that way, though. If it were done where everybody assumes the same amount of risk, it wouldn't matter where you lived. We haven't had a hurricane since 2003, I have never filed a claim for wind damage and I certainly don't consider my lifestyle reckless because I live on the gulf. As far as economic pain is concerned, I've had more than my share during my lifetime.

We've had hurricanes since 2003 - I presume that's a typo. USAA is very patient with their policyholders and perhaps they shouldn't be going forward.

Please keep us posted on how they come back in to rewite your policies. I am very curious if they will be allowed a rate adjustment at that time as well.

Thank you for the information. ;-)

 

[Andy A]

Please tell me you aren't serious with this statement. Wreckless would be someone not insuring their home..... or, buying in a COBRA zone (COBRA zone purchases in my opinion are wreckless and probably not for others).





We've had hurricanes since 2003 - I presume that's a typo. USAA is very patient with their policyholders and perhaps they shouldn't be going forward.

Please keep us posted on how they come back in to rewite your policies. I am very curious if they will be allowed a rate adjustment at that time as well.

Thank you for the information. ;-)

It was a typo. It should have been 2005. At that time Dennis wiped out our bluff. BTW, USAA did handle all the transfer paperwork to Citizens for me. I wonder if they'll do the same this time?