The Home Insurance Guru

Even though the predictions are for  23 named storms now this season from NOAH and 7 major hurricanes a lot of people and comapanies are playing the wait and see attitude.The numbers are staggering in that we have a 45% chance this season for a storm to actually hit the Eastern coast and/or Florida. Please read this article and be prepared!!!

http://www.insurancejournal.com/news/southeast/2010/05/28/110268.htm

Can you believe our Legislators in Washington  still have this bill mixed up in w/ the  bill on unemployment and what a mess that is. They are now trying to remove this program from the unemployment bill so it can be more easily dealt with, but until then we are once again w/ no Flood insurance effective 5/31. This means that real estate transactions cannot happen if flood is required unless Fannie and Freddy once again ok the application as temporary proof of coverage.How can this happen as we enter hurricaene season with predictions as bad as they are for the season. On top of this we have companies here in Florida like Northern Capital and Mgnoolia also being shut down and this means amny of them will now also need flood coverage they cannot have. This will not help our Real Estate market recovery at all and we know for sure that no coverage exists for the holiday weekend for new policy holders wanna be’s. Please read the full story below;

http://www.insurancejournal.com/news/national/2010/05/28/110271.htm

The MGA’s are owner’s of the Insurance companies and charge fees from the Insurance companies to be the manager of them. This system is wacky at best, but is the only system in Florida that works for now. The problem has been that they are charging a  lot and have been trying to take out more money than normal as the ower/investors. This is what has caused the Insurance companies to have smaller reserves in recent times. The Office of insurance regulation has raised the reserve requirements so things should start to improve over time. Higher  premiums is one of the answer’s, but that is too late for companies like Northern capital and Magnolia as well.Please read the full article below as we are about to enter hurricane season;

http://www.insurancejournal.com/news/southeast/2010/05/25/110162.htm

Please read the full story as we head into Hurricane season as the money is from Bond issues and who knows what will really happen if it is needed.Tallahassee wil be in emergency sessions for sure. The companies like Northern Capital and Magnolia will son be non existent so hopefully the other carriers that are more financially stable will be able to handle whatever happens this season. Please read the full story below and call our office for any customer service issues you may have.

http://www.insurancejournal.com/news/southeast/2010/05/20/110025.htm

I find it unusual that an advocate will urge a bill to be signed that could cause large rate increases. Tallahassee has this in their head that rates will not go up, but the only  thing we know for sure is that increases are expected to continue on the rise for the next 3 years. This bill does not allow deregulation so all increases will have to be requested, but if we keep loosing companies like Northern Capital and Magnolia then prices will have no where to go, but up??  Please read the full sory below about Hurricane season and  The Property Insurance bill;

http://www.insurancejournal.com/news/southeast/2010/05/14/109852.htm#axzz0nvYh8TA5

Rates are on the rise in Florida as we head into  Hurricane season. The problems in Florida date as far back as Hurricane Abdrew, but rate rollbacks promised by Governor Christ when he took office 3 years ago has been the big reason that companies are having financial dificulties like Northern Capital and Magnolia of late. Even Citizens Insurance will have big issues if a hurricane were to come ashore in Florida this season and then we are all in trouble. The reserve requirements for new startup companies has been increased from 5-15 million and increases from there to help protect the State of Florida  and the Florida Cat fund if anything goes wrong this season and going forward.Let’s hope for the best adn call L & S Insurance for the best service. Please read the full article below;

http://www.insurancejournal.com/news/southeast/2010/05/14/109844.htm#axzz0nvUuLcn9

Guess who will pay this bill? You guessed it, the Florida Homeowners in  Cat fund surcharges to all policy holder’s. The good news is that the worst case scenarios will be people insured w/ Citizen’s as they could get hit up to 45% of the current premiums they pay to cover this bill. People in other companies could get hit as well, but not as much and people in Citizens are hit first and hardest.Bonds will be used to try and raise the capital first, but if they don’t sell, the consumer’s will be here to foot the bill. Please get out of citizens Insurance as you can save money in most cases. We have lot’s of companies still writing Home Insurance and flood as well and our service department is the best. We also represent top rated comapnies like Federated National which is owned by 21st century an A+ carrier w/ AM best as well as several other’s.Please read the full story below;

http://www.insurancejournal.com/news/southeast/2010/05/12/109761.htm

Insurance commissioner Kevin McCarty in Tallahassee  has told the Governor in a leter that this property Insurance  bill does not guarantee rate increases each year and this is the reason the bill will likely be signed this week.  We all know this is not true as the Insurance companies and the Florida cat-fund are so short of capital that rate increases are not only guaranteed by all companies, we only do not know how much by each. This is simply a political ploy as the Governor came into office by saying that he would lower Insurance prices and he cannot sign a bill that does the opposite. He now  has a scape goat in the Insurance commissioner and he will soon be out of office as he runs for the Senate position. The Florida Cat fund and  Citizens  Insurance are all scheduled for necessary rate increases and this will be to avoid  huge financial problems That have happened already recently to Magnolia and Northern Capitaal as examples. Please read the full article below as we all get ready for a wild Hurricane season;

http://www.insurancejournal.com/news/southeast/2010/05/12/109763.htm

How can the Florida  Office of Insurance regulation do this to another  Home Insurance carrier in the same month as Northern Capital. This one has been known for a while and with Hurricane season just around the corner, this is not unusual, however, all this work to be done in 30 days is unbelievable. Please read the full story below on Magnolia and let’s hope for no more Home Insurance casualties by Tallahassee  Legislators or regulator’s for some time as who can handle this much at one time.Citizens Insurance for most of the magnolia people is very likely;

http://www.insurancejournal.com/news/southeast/2010/05/03/109496.htm

This bill will raise surplus requirements by Insurance companies, prevent public Adjustors from submitting  errant claims to insurance companies w/ tougher deadlines,reinsurance costs will be passed on to the consumer’s,and protect’s Insurance agents from Commission attatcks by  State regulator’s that have wiped us clean already for quite some time.Rate Increases are also stipulated in this bill, but the governor must first sign it. This is a necessary evil, but will help the Insurance dilemma in Florida  in the long run. These rate increases are just the decreases we have seen in Florida  for the last 3  years come back which means Governor Christs policy to lower Insurance rates on Homeowner’s was unfounded and unnecessary! What  the decreases did do was kill companies like Northern Capital, Magnolia and hurt State Farm when all they wanted was a price increase which is what eventually happened anyway! Please read the full story below;

http://www.insurancejournal.com/news/southeast/2010/05/03/109494.htm