A Fla. rarity: Property insurer to cut rates

TALLAHASSEE, Fla. – Feb. 12, 2013 – The Florida Office of Insurance Regulation (OIR) approved a resubmitted rate filing by Praetorian Insurance Company (Praetorian) for its property collateral protection program – also known as “lender-placed” or “force-placed insurance” – imposed on people who don’t have homeowners insurance as required by a mortgage agreement.

Praetorian submitted the second rate filing on Dec. 11, 2012. It reflects an overall proposed rate decrease of 18.8 percent, though the amount can vary by location.

The Praetorian rate includes two other force-placed companies’ policies. QBE Specialty Insurance Company and its affiliated company, Balboa Insurance Company, are merging their lender-placed insurance programs into Praetorian.

OIR says the filing impacts 126,336 Florida policies, representing a premium volume of $521 million. It will result in a decrease of $98 million to consumers. OIR says the company must submit another rate filing by Feb. 1, 2014.

homeowner insurance umbrella house© 2013 Florida Realtors®

Reprinted with permission. Florida Realtors®. All rights reserved.

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