Approximately 125,000 of State Farm’s “most vulnerable customers” in Florida should brace themselves to receive some potentially bad news: their policies with State Farm Insurance are being cancelled.
MSNBC and others are reporting that State Farm Florida will be canceling policies for nearly a fifth of its clients, most of them in coastal areas. It began sending out notices this week.
A spokesman for State Farm said the decision was the direct result of its failure to win a 47.1% rate increase from state regulators, explaining that severe losses from a series of devastating hurricanes in recent years had rendered its business model unworkable without the large increase.
“State Farm cancels thousands in Fla.” via MSNBC.
Photo: Neven Mrgan