Pulling Out Of The Market

[jmr30183]

It's no secret that Homeowners is the least profitable policy type for most insurance companies. In retail, they would refer to it as a "loss leader".

I represent seven Personal Lines carriers, six of which offer both Homeowners and Personal Auto. Two years ago, only one of them required a Persoenal Auto policy in order to write Homeowners coverage. Now all six of them require the Personal Auto business before they'll issue Homeowners!

As for pulling out of various markets, it wouldn't surprise me if one certain company started sending cancellations attached to their HO claim payments.....or with their claims denails, more accurately. And in hurricane and tornado ravaged areas, they'd even have couriers hand-deliver them to the piles of rubble....

 

[Cory]

Good point NCAGENT... they could say the price is what they price is... pay it or not? Businesses are in it to make money, but if you're stuck with lack of options you can only choose the lesser of two evils... and still pay too much.

 

[iiinycboi]

doesnt allstate do this too? auto with homeowners or no standalone homeowners?

 

[NCAgent]

doesnt allstate do this too? auto with homeowners or no standalone homeowners?

Yeah, they don't do monoline properties really. At least in NC, they got in the news for massive non-renewals of monoline properties.