Nationwide Drops 60,000 Florida Homeowners Policies
Some Florida homeowners may soon be out of insurance coverage as one of the state’s largest providers has given some policyholders the ax. On Wednesday, October 7, 2009, Nationwide Insurance Co. announced that it will be dropping 60,000 of its Florida homeowners policies, which makes up almost half of its residential policies. The action won’t actually start until July 2010 when many of the homeowners policies are set to renew.
According to Nationwide, it’s been scaling back on homeowners policies for several years. In this case, the decision was made to help maintain viability and manage the risk in the area. Florida is known for being a high-risk area when it comes to windstorms and as a result, many Florida insurers assume a great deal more liability than insurers in other parts of the country. Nationwide hopes that by making this decision, it will be able to remain a viable provider for all types of coverage in the state.
As for those policyholders who will be losing their coverage, Tower Hill Insurance Group has agreed to take over the policies for the majority of the homeowners. However, if you are covered by Nationwide and live in the area, now is the time to begin shopping around for alternative coverage options. You may be one of the policyholders not getting covered by Tower Group Hill. Or you simply may not like the coverage options and prices they offer.