Farmers Insurance on Tuesday, Farmers Insurance became the latest property insurance company to pull out of Florida. The decision will impact roughly 100,000 policyholders in the state. Due to state law, Farmers will have to give 120-day notice to those they are dropping, giving policy holders some time to find other coverage.
In a statement, Farmers said the decision was “necessary to effectively manage risk exposure.” The company also made clear that the move will only affect those with policies issued through the exclusive Farmers agency distribution channel, not through Farmers’ other insurance groups.
Read the full statement below.
We have advised the Florida Office of Insurance Regulation (OIR) of our decision to discontinue offering Farmers®-branded auto, home, and umbrella policies in the state. This business decision was necessary to effectively manage risk exposure. Farmers offers insurance through several different brands, and this decision applies only to policies issued through our exclusive agency distribution channel. There is no impact to 70 percent of policies currently in force for customers in the state, including Bristol West®, Foremost SignatureSM, Farmers GroupSelectSM, Foremost Choice® and Foremost®-branded policies. Such policies will continue to be available to serve the insurance needs of Floridians. Affected customers will receive notifications detailing when their coverage will end and will be advised of options for replacement coverage.