Insurance - Change in policy beginning Aug 15

[Smiling JOe]

You're right, and it sure seems unfair that they are not distinguishing newer, well built homes from older structures. I wonder how Alys Beach residents are faring with insurance? Are they finding they are getting decent rates or not?

Since Alys Beach is within 5000ft from the Gulf, State Farm will not be insuring those homes, starting on the 15th, according to the agent with whom I spoke yesterday.

State Farm is distinguishing from the homes built after 2002, but only if they are further than 5000 ft from the Gulf.

 

[Mango]

That sounds like they will only insure any over the Bridge? That's 3.31 miles from the Gulf.
I believe that State Farm, from what I was told years ago was that they did not insure anyone within a 1/2 mile of the Gulf. They are really pushing it back quite a bit.

 

[Smiling JOe]

How many people actually have insurance with State Farm within 5000 ft of the Gulf? My understanding years ago when I spoke with an agent, is that State Farm did not insure anything within 1/2 mile of the Gulf. (5000 ft. is 416.66 yds)

Correct, currently the distance is 2000ft, roughly .5 miles. There are plenty of homes that will be falling into this new range between 2000 - 5000ft whom will be dropped. Ask people in WaterColor, Watersound north, Cypress Dunes, maybe Cypress Breeze, Nature Walk, etc.

 

[Mango]

Correct, currently the distance is 2000ft, roughly .5 miles. There are plenty of homes that will be falling into this new range between 2000 - 5000ft whom will be dropped. Ask people in WaterColor, Watersound north, Cypress Dunes, maybe Cypress Breeze, Nature Walk, etc.

I had to look up how many feet were in a mile because I forgot.
But there are 5280 feet in a mile, so divided by 5000 ft, that make any property within 1 mile of the beach uninsurable. :shock:

 

[Smiling JOe]

I had to look up how many feet were in a mile because I forgot.
But there are 5280 feet in a mile, so divided by 5000 ft, that make any property within 1 mile of the beach uninsurable. :shock:

That is what the State Farm agent said. As I mentioned earlier, I do not know if the other companies are also changing their policy to not insure within 5000 ft (~ 1 mile) from the Gulf, but I would like to know if you have any knowledge of such. I will be making some more phone calls to other carriers next week.

 

[Lisa Ruby]

That is what the State Farm agent said. As I mentioned earlier, I do not know if the other companies are also changing their policy to not insure within 5000 ft (~ 1 mile) from the Gulf, but I would like to know if you have any knowledge of such. I will be making some more phone calls to other carriers next week.

Apparently other companies are following suit. I got my cancellation letter today from Universal ..... this is not going to be pretty

 

[Beach Boy]

I spoke with our agent at Citizens today (Fisher-Brown agency) and she said she wasn't aware of anything like that coming up in 2007. But then she also said that she wasn't aware of State Farm's ruling as of today either, so she referred me to the Citizens website for me info.
Just thought I'd pass it along. I am going to try and find out more info.

 

[jimmyeagle]

American Strategic Insurance (ASI) sent a notice last week that when the policy runs out on my West PCB property in November, it will not be renewed. The reason was "Reduction in Hurricane Exposure." At first it sounded like we didn't have enough hurricanes to warrant coverage but my agent explained that ASI and other companies are reducing THEIR hurricane exposure.

My agent told me that it is possible other companies will step up to fill the gap for properties less than half a mile from the beach, so I'll just have to wait until sometime in the next month or two before making a decision.

As for Alys Beach, their website says they are coordinating with an insurance agency/agencies for coverage, owing to their status as a Fortified for Safer Living... community.

 

[Beach Runner]

Everyone near the beach needs to consider getting flood insurance (even if you're not in a flood zone) after today's ruling http://www.cnn.com/2006/LAW/08/15/katrina.insurance.ap/index.html.

Last fall after I heard about homeowners not getting compensated for their Katrina-damaged homes because of a conflict over whether the damage was caused by flooding or by wind damage, we decided to get a flood insurance policy. Hopefully we'll never need it, but after today's ruling, we're glad we have it. And flood insurance is relatively cheap if you're not in a flood zone.

BTW we got non-renewed in November 2004 by American Strategic. Then in November 2005 we got non-renewed by NorthPointe. I know how scary it is to be wondering if you can get a policy because if you have a mortgage, you have to be insured. Really stressful.

 

[SHELLY]

I spoke with our agent at Citizens today (Fisher-Brown agency) and she said she wasn't aware of anything like that coming up in 2007. But then she also said that she wasn't aware of State Farm's ruling as of today either, so she referred me to the Citizens website for me info.
Just thought I'd pass it along. I am going to try and find out more info.

It's REALLY scary when the "insurance professionals" haven't got a clue. It just shows you what a can of worms this thing is turning out to be on all levels.

God help us all if a hurricane hits...the fingerpointing and double-talk will be a sight to behold, and victims....uh, policy holders.....will be left "twisting in the wind."