According to an Insurance Journal article, a well-known insurance rating agency recently announced that it will not downgrade any of the financial stability ratings (FSRs) of more than eleven Florida homeowners insurance companies due to the losses incurred because of major storms and last year’s assignment of benefits litigation. Despite this, there are still plenty of insurers that have yet to be analyzed and may face the risk of having their “A” rating downgraded.
The majority of the insurers that will now maintain their “A” rating had already taken the necessary steps to have their FSR affirmed. These FSR ratings reflect the agency’s opinion as to how well the insurance company can insulate itself from the business cycle that exists in the general economy as well as the cycle of underwriting that comprises the insurance industry. Hence, an FSR summarizes the agency’s opinion of an insurer and its ability to survive an economic downturn.
To read more about the insurer ratings decision, please visit https://www.insurancejournal.com/magazines/mag-features/2018/04/16/486020.htm.
This information is provided by Miami insurance lawyer Alonso & Perez, LLP. Our areas of practice include bankruptcy, insurance litigation, foreclosure defense, immigration law, and more. Call 305-676-7545 to speak with one of our attorneys or a Miami insurance claims lawyer and receive a free consultation We look forward to working with you.
This information is provided for educational or informational purposes only and should not be construed as legal advice. The information is not provided in the course of an attorney-client relationship and is not intended to substitute for legal advice.