The Real Deal Miami

State Farm loses homeowner rate hike appeal

December 15, 2008 11:27AM

A judge ruled last week that State Farm Florida Insurance will not be
able to impose an average 67 percent rate hike on property insurance, effectively quashing
the insurer’s last appeal to regulatory and legal authorities.
Florida’s insurance commissioner earlier this year rejected State
Farm’s initial average 47.1 percent rate hike request, and the company
appealed to the Division of Administrative Hearings. Judge Daniel Manry
ruled that much of the evidence State Farm presented to support its
demand for higher rates was at times ambiguous, contradictory and
lacked credibility. The insurance commissioner has 30 days to issue a
final decision.