Florida Insurance Commissioner Kevin McCarty Suspends Allstate Companies from Writing New Insurance Business
Thursday, January 17, 2008
In follow-up to Wednesday's news conference, Florida Insurance Commissioner Kevin McCarty has issued an Immediate Final Order suspending the Allstate Companies (Allstate) from writing new insurance business in Florida until the companies fully comply with the subpoenas served Oct. 16 by the Florida Office of Insurance Regulation (Office). The Order applies to all new business.
The key documents requested in the subpoenas go to the heart of the Office's investigation into possible inappropriate behavior by Allstate and ask for an explanation of the companies' relationships with rating agencies, modeling companies and trade groups and how these relationships might have influenced the huge rate increases they requested in September.
The Order is effective immediately and applies to all Allstate companies on which the subpoenas were served:
- Existing Allstate policyholders are not affected.
- Policy renewals will not be affected.
- Only new business is affected.
- Allstate Floridian Insurance Co.
- Allstate Indemnity Co.
- Allstate Property & Casualty Insurance Co.
- Allstate Insurance Co.
- Allstate Floridian Indemnity Co.
- Allstate Fire and Casualty Insurance Co.
- Encompass Insurance Co. of America
- Encompass Indemnity Co.
- Encompass Floridian Insurance Co.
- Encompass Floridian Indemnity Co.