State OKs Allstate's 8.2 Percent Hike

[The Straight Story]

State OKs Allstate's 8.2 Percent Hike

POSTED: 3:52 pm EST December 19, 2006

TALLAHASSEE, Fla. ( -- State insurance regulators on Tuesday approved an 8.2 percent rate increase for two Allstate companies operating in Florida, a move that will affect roughly 400,000 customers.

Allstate Floridian Insurance and Allstate Floridian Indemnity had originally requested average statewide rate increases of 22.5 percent and 33.2 percent, respectively. The state Office of Insurance Regulation said Tuesday those filings last spring were unacceptable.

The companies later amended their requests to a 19.1 percent rate increase for Allstate Floridian and a 26.4 percent increase for Allstate Indemnity.

"Those filings also weren't justified," Bob Lotane, spokesman for the insurance regulation office, said Tuesday. "In this case, one of the biggest issues was they were asking for money to pay for reinsurance which they had not purchased yet and that's just not allowed."

The companies submitted a revised 8 percent rate increase request last week.

http://www.local6.com/news/10569009/detail.html

[Jeffersons Ghost]

1. K&R, do you know why corporate america now pulls crap like this?...

because they can finally get away with it

[uppityperson]

2. So they asked for the moon and settled for Mars?

Ask for an outrageously huge amount, then settle for only an outrageously large amount? Of course, having ANY insurance by Allstate in Florida is amazing. Here is a bit more on what Allstate has been up to recently.

12/11/06 AP article (many places on googlenews)
{div class="excerpt"]Allstate said it wants to control its exposure to areas at risk of hurricanes. So in mid-February it'll stop writing new homeowner policies in Connecticut.

The insurance giant is taking similar steps in New Jersey and Delaware. It earlier announced plans to stop writing policies in some coastal counties in New York.

An Allstate official says there's a dramatic increase in the risk of what he calls a "catastrophic event" occurring in New England. The company is arranging for agents in Connecticut to offer homeowner policies from six other insurers.

[ecstatic]

3. On a side note, their fear-mongering auto-crash commercials have gone too far! nt

[kysrsoze]

4. Allstate sucks. They are consistently more expensive than other insurers

I hate them.