Farmers Insurance compelled to backtrack on nonrenewals in Georgia

Farmers Insurance has been compelled to rescind tens of hundreds of nonrenewal notices to Georgia clients that have been scheduled to take impact in August, in accordance with the state’s insurance coverage and security fireplace commissioner.

Commissioner John F. King mentioned that Farmers Insurance had alerted their clients that they might be non-renewing house owner insurance policies on properties with roofs over 15 years outdated, forcing his workplace to behave on a “blatant violation of Georgia law.”

“My office immediately took action, ordering Farmers to reverse course and rescind these scheduled non-renewals,” King mentioned in assertion on the workplace of commissioner of insurance coverage and security fireplace’s web site. “I am extremely disappointed with the actions of Farmers and am contemplating further disciplinary actions at this time.”

Under Georgia legislation, insurers are solely allowed to alter their underwriting pointers for brand spanking new enterprise and can’t non-renew present clients beneath new pointers, the assertion continued.

Violations of Georgia insurance coverage legislation are topic to financial fines, amongst different penalties.

The transfer comes amid latest exits from main carriers in states similar to Florida and California.

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