Pulling Out Of The Market

Discussion in 'P&C Insurance Forum' started by nyc2phi, Nov 2, 2012.

  1. nyc2phi
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    nyc2phi Guru

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    I keep hearing that companies are pulling out of the homeowners market, rumor says State Farm, Tavelers, ect. is this true?
     
  2. Josh
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    Josh Retired Agent, Current List Broker

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    It's unlikely any of the big ones will pull out altogether, but they do close out certain states. After Katrina Allstate stopped writing business on a lot of costs because they didn't want to risk getting clubbed over the head like State Farm did. That isn't uncommon.
     
  3. nyc2phi
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    I bound a condo in Ocean City, NJ today. We had to of been the only company willing to do that after Sandy...
     
  4. russelltw
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    russelltw Guru

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    Farmers pulled out of NC several years ago after the NC Joint Underwriters Assn (coastal wind coverage mainly) sent a letter to companies offering p/c in NC (if you offer property coverage, you have to participate in the Joint Underwriters Assn) that said if there was a direct hit with a Cat 5 hurricane, we have the right to assess each company an unlimited amount. Farmers said "no thanks" and cancelled all their property coverage in NC.
     
  5. CHUMPS FROM OXFORD
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    CHUMPS FROM OXFORD Guru

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    Wow! I bet "The Market" is not happy.

    Sorry.

    By the way, just minutes ago I was wearing my PSU jacket. Even though I was happy that OU beat them, I'm hoping for a strong finish, including a win over Purdue Saturday.

    They should be Top15 again in about 2-3 years. Recruiting should pick up.
     
  6. Guest
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    Guest Guest

    nationally, Homeowners loss ratio is running at 122%, lots of companies will bail if they can
     
  7. JP Savage
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    JP Savage Super Genius

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    Where did you read the 122%? I would like to read the article.
     
  8. Guest
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    They aren't exactly pulling out, but in Oklahoma Farm Bureau sent letters to all of their policyholders who only had a property with them. The letter told them to move their cars to FB or move their property somewhere else, they will no longer insure homes without autos.

    It has been nice for me, I've picked up quite a few nice properties.
     
  9. VolAgent
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    Has anyone asked the market how it feels? It can't be good, always having a carrier pulling out early on you.
     
  10. NCAgent
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    Well for the right price the carriers won't have to pull out now, would they?
     
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