The Real Deal Miami

More insurers could flee

February 26, 2009 10:18AM

State Farm was the first and largest, but experts warn that other insurers could leave the state if they aren’t allowed to charge customers more. Steve Pociask, president of the American Consumer Institute’s Center for Citizen Research, said at an industry event that rate caps imposed by the state imperil the solvency of insurers, which could be badly hurt by a major storm. Ed Domansky, spokesman for Florida’s Office of Insurance Regulation, said State Farm’s request to raise rates could have boosted premiums as much as 90 percent in some parts of the state.