American Traditions halts new business in Florida

0
New You can now listen to the Insurance Journal articles!

Another property insurer has stopped writing new policies in Florida.

For landlords, condominiums and rental properties, “new business will be temporarily suspended until further notice,” American Traditions Insurance explained Thursday in a bulletin to state officials. “We will honor previously registered eligible quotes until the end of business on Friday, August 5th.”

This decision makes the company the 13e this year to suspend at least some lines of new business in Florida. The pullback was necessary “in order to manage our exposure and stay consistent with our growth projections,” the Pinellas Park-based company said.

American Traditions was launched in 2005 and is part of general management agency TJ Jerger. It specialized in cover for manufactured homes, but quickly moved on to homeowners and condominium policies, the company said. John Jerger Jr. is the president of Jerger MGA and American Traditions.

The number of policies written by American Traditions in Florida is not shown in the Florida Office of Insurance Regulation’s quarterly compilation. But rating firm AM Best ranked it this month 28e the largest in the state, with approximately 1.03% of the market and $128 million in direct written premiums.

Meanwhile, American Integrity Insurance, based in Tampa and ranked 7e in Florida, also announced new policy restrictions to address the challenges of the struggling Florida market. The insurer will write DP-3 policies only for properties five years old or younger in eight counties, including high-rent and populated counties surrounding Orlando, Tampa and Palm Beach. House age requirements in other counties remain unchanged.

The company, one of the first to institute binding arbitration for claims disputes, also said its arbitration approval is now available for DP-3 and Integrity Select policies for older homes. The endorsement offers up to 20% off new policies and renewals if policyholders accept it.

“With your support, our new construction segment is up 80% year over year, and our non-vacant DP-1 line is up 100%!” the carrier said in its note to agents. “In addition, our specialty lines (flood, watercraft, vacant, high-value, umbrella and golf cart) grew 33% year-over-year.”

Topics
Florida

The most important insurance news, delivered to your inbox every working day.

Receive the trusted insurance industry newsletter

Share.

About Author

Comments are closed.