John Mayer's Real Estate Blog: "Good Time Charlie" State Farm Insurance Departs Florida

"Good Time Charlie" State Farm Insurance Departs Florida

Insurance in Florida has always been a big part of the PITI equation. This cartoon by Jeff Parker of Florida Today Newspaper sums up homeowner's reaction to State Farm's departure and will not bode well for the company when friends and relatives in other States hear about their treatment of loyal customers.

Departing Florida

State Farm Florida’s departure is a dramatic example of the turmoil that has gripped Florida’s homeowners insurance market since Hurricane Andrew struck south of Miami in 1992. The barrage of hurricanes that hit Florida in 2004 and 2005 deepened the insurance crisis.

Since Andrew, insurance prices have soared. State Farm, for instance, has increased rates 530 percent since 1992 and hundreds of thousands of policyholders have been dumped by private insurers into Citizens.

To State Farm, I say - Don't bother coming back for the good times! There are plenty of other reliable companies willing to take your place.

Comment balloon 8 commentsJohn Mayer • February 18 2009 07:59PM

Comments

Ironically, I just received a mailer from a local State Farm agency offering their auto insurance services!  I think Floridians are becoming more and more outraged at insurance companies pulling out of the home insurance market and at the same time "offering" other products to the very same consumers they just ditched.

Posted by Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES, Florida Waterfront and Country Club Living (Tropic Shores Realty - Ich spreche Deutsch!) over 10 years ago

State Farm wont write new Homeowners Insurance in North Mississippi. The agents around here are about to pull out.

Posted by Frank Magdefrau, Certified Master Inspector (DeSoto Home Inspection Services) over 10 years ago

They do the exact same thing to our barrier island by writing only so many policies per year and then they say "No Thanks"....

Posted by Julie Chapman, New Homes Sales Lakeland Florida (DR Horton ) over 10 years ago

Silvia, Frank and Julie,

Thank you for your comments. I think the flooding during tropical storm Fay was the straw that broke the camel's back but State Farm wasn't complaining when they lined their pockets in the good times.

Posted by John Mayer, Your Beach Area Expert (Oikos Realty, Cape Canaveral, Cocoa Beach Florida) over 10 years ago

Hi John, This certaily doesn't come as good news to any of us here in Florida.  All of my rental houses are insured with State Farm. I am certainly not interested in going through the transistion of changing companies -ugh!

Posted by Sandy Shores FL RealtorĀ®, Melbourne Real Estate, Brevard County Real Estate, Florida's Space Coast (M & M Realty of Brevard Inc.) over 10 years ago

Sandy - It's just another beach bump on the road back to normal - or not!

Hurricane Kat  

Posted by John Mayer, Your Beach Area Expert (Oikos Realty, Cape Canaveral, Cocoa Beach Florida) over 10 years ago

John,

I would love to use this graphic for a Power Point Presentation for college.  Who do I get permission from?

Posted by Joy Prue about 8 years ago

Joy - You need to contact Jeff Parker of Florida Today Newspaper. He is the creator of the cartoon. Good luck with your presentation. jparker@floridatoday.com

 

Posted by John Mayer, Your Beach Area Expert (Oikos Realty, Cape Canaveral, Cocoa Beach Florida) about 8 years ago

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