3 Easy Steps as State Farm begins leaving Florida

As an Orlando Mortgage Broker in Seminole County, I have had the experience of working with many insurance carriers -some good – some bad. As the largest private property insurer makes the move to pull out of Florida, home owners are wondering – what do we do now? I personally have been using State Farm since day one… so you and me, yeah… same boat here!

The most pivotal, yet most overlooked thing, is likely the urgency to move QUICKLY!

“But Chris, this is supposed to happen over a period of a few years… what’s the rush?”

Glad you asked!

The Answer – Capacity.

Effectively, when State Farm pulls out, the other carriers are going to be inundated with folks that need their homes insured. While this is a welcome event for those carriers, it is not all roses for them. Imagine these carriers are like a sponge. As they soak up these other policies abandoned by State Farm, they will begin to saturate. Once they max out, home owners without insurance will be left with less options.

It is safe to assume that the best, most competitive companies will fill up first, is it not?

At the end of the day, those that do not hesitate will end up with the most options and therefore the best options. Meaning, those policy holders that act the fastest will have the best and broadest options available to them – those that wait and hold on to the Farm the longest will be left with the lessor of the options and likely pay more for their home owner’s insurance for years to come.

Here are 3 EASY STEPS to take to make sure that you get the very best that is out there.

STEP 1: LINE UP THE DUCKS – Pull out your current policy and have it handy when you contact possible insurance companies. DON’T HAVE THEM? Call your current carrier and ask for copies of your “Declaration Pages”. Commonly referred to as “Dec Pages” show the coverage that you have and will assist your hunt for a new provider. [Sample of what you should get from State Farm.]

STEP 2: PICK UP THE PHONE – With the Dec pages in hand – ACT NOW. It is likely best to find an independent insurance company that can write insurance with MANY carriers. Why? Because an insurance company that can write for many [rather than just one] can do the shopping for you and find the very best coverage for the cost. Since the best companies for the money are likely to fill quickly, time is of the essence. Here is the company I chose, personally. The gal I connected with was Sarah – email Sarah here: scornwell@iscf.biz.

STEP 3: COMPARE - When you find the best independent carrier, have them provide 2-3 quotes from different companies they represent. Have them walk through the coverages with you and offer their opinions on which is the best value. Cheapest isn’t always best. You want to gain confidence that they company you are with doesn’t follow State Farm’s lead

The folks at ISCF have put together an informative White Paper about the State Farm pull out. I consider it required reading for any current State Farm policy holder.

Related Articles:

State Farm Announces its Intent to Stop Writing Property Insurance in Florida.

State Farm to Florida Homeowner: No Thanks.

State Farm to exit Florida Property Insurance.