Saying its finances are weakened, State Farm's Florida unit wants to get out of the business of property insurance in the state.
The company, Florida's largest private insurer of homes and condos with 1.2 million policies, wants to keep only auto insurance, it said in a statement. Other State Farm units would still sell life, health and other financial services, it said in a statement.
Under State Farm's proposal, it would phase out of the property insurance business over two years, giving existing customers time to find new coverage.
If State Farm's plan is approved by state insurance regulators, that means it will no longer write the full range of property policies, including homeowners, condo, renters, boaters, mobile home, business property, commercial liability and commercial marine.
State Farm cited its "substantially weakened financial position, directly related to its inability to obtain regulatory approval of what it believes to be adequate property insurance rates.''
The Florida Office of Insurance Regulation said that State Farm's plan must still be approved by regulators. OIR has 90 days to review and approve or reject State Farm's plan. If it is approved, then State Farm has to provide 180-day notice to those policyholders that it plans to terminate.
Insurance Commissioner Kevin McCarty said in a statement that state insurance regulators had been hearing for months that State Farm was considering no longer writing property insurance in Florida.
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