Information from the Office of Insurance Regulation re Statement form Insurance Commissioner McCarty Regarding Nationwide Insurance Company Requesting a Statewide Rate Increase of 71% 7/17/06
Jan 14, 2007
Please find attached News from the Office of Insurance Regulation. Should you have any questions or concerns, please do not hesitate to contact this office.
Regards,
Fred E. Karlinsky
STATEMENT FROM INSURANCE COMMISSIONER KEVIN MCCARTY REGARDING NATIONWIDE INSURANCE COMPANY REQUESTING A STATEWIDE RATE INCREASE OF 71 %
TALLAHASSEE (July 6, 2006) – Nationwide Insurance Company of Florida (Nationwide) has filed with the Florida Office of Insurance Regulation (Office) for a statewide average increase in homeowner�s insurance rates of 71 percent. The Office has 90 days to review the filing. After receiving the filing Insurance Commissioner Kevin McCarty issued the following statement:
“I am extremely concerned about the impact this requested rate hike would be on Floridians� pocketbooks, particularly those with low incomes or on fixed incomes. Many of our state�s residents have already experienced difficulty paying higher insurance premiums due to the dramatically higher rates charged by global reinsurers. While such coverage is necessary, we unfortunately do not have regulatory authority over what these reinsurers charge.
“As always, I have to balance my concerns about the financial impact of the filing with my official obligation to assure that companies build adequate resources to pay claims should they be hit with catastrophic losses. This Office will fully scrutinize this filing and will not approve it if it is not fully justified.”