Customers receive letters that their home insurance is terminated

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Roofing scams and recent hurricanes have wreaked havoc on Florida’s insurance industry, creating a crisis that is driving insurers out of business and skyrocketing rates.

Home insurance companies in Florida are dropping like flies and going bankrupt because they can’t afford to stay there.

More than 170,000 St. John’s Insurance customers in Florida began receiving letters telling them they were being abandoned.

This catches many customers off guard and wondering what will happen next and creates urgency for lawmakers to address the issue.

Republican Mike Giallombardo represents Cape Coral at the Florida House, and his office began receiving emails and calls from people who received letters saying they were abandoned by St. John’s.

The state’s 8th largest home insurer went bankrupt after its rating plummeted and was unable to insure its customers.

Notices informed customers that Slide Insurance would take over the policy. The move helped avoid pushing customers into the state-run insurer of last resort Citizens.

However, there is no guarantee that they will continue the policies after they expire.

When Giallombardo was asked if there was a need for lawmakers to address the crisis, he said it needed to be addressed.

However, Tallahassee lawmakers ignored it during this year’s session. They are now considering a special session to deal with it.

“If we don’t fix this now, we’re going to have serious problems,” Giallombardo said.

While homeowners like Mary Barbano are seeing their home insurance costs skyrocket.

“My home insurance and I had to take out flood insurance and the risk is more than doubled,” Barbano pointed out.

The higher rates people are paying are partly due to ongoing roofing scams and the insurance industry is plagued by lawsuits and payouts from Hurricanes Irma and Michael that tore through the state.

“If Florida companies could insure people in other states where there is less risk, it would increase risk in the pool and lower premiums across the board,” said Florida economist Dr Victor Claar. FGCU.

These are all issues that lawmakers are forced to consider in order to lower insurance rates and prevent more companies like St. John’s from failing.

Anyone who has received notice of cancellation should call their agent and discuss the options.

We would like to apologize to CMR Construction & Roofing LLC. On Wednesday of this week, we published an article about home insurance coverage issues Florida residents are facing. Lawmakers and insurance industry leaders say roofing scams and payouts resulting from hurricane damage are the reason homeowners have coverage issues. In the story, we inadvertently used videos of a CMR Construction & Roofing truck. We have in no way implied or said that CMR Construction & Roofing is involved in roofing scams. We apologize for any confusion.

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