Does your home insurance company have a high number of complaints? Will you have difficulty placing a claim, or have a valid claim delayed or denied? Is your home-owners insurance company good or bad? Most consumers fail to check the complaint records of their insurance companies. Here I provide complaint information for 25 home insurance companies selling new home insurance policies in Florida, and rank them based on their 2010 Florida home insurance complaint index. When shopping for home insurance, this blog post can help you find the best & avoid the worst insurance companies!
I wrote this review about two years ago. I’ve recently written new, more comprehensive reviews of the companies in the Florida home insurance market, rating the home insurance complaint records of the major Florida home insurance companies using the latest data, from 2009 to 2012 (2013 data will most likely be available later in 2014). In addition, I’ll be writing reviews of the individual companies insuring residential property in Florida and selling home, condominium, and renters insurance, throughout February 2014. Bookmark or favorite this page or my site, to check out future reviews. For now, see my new reviews of the 2009-2012 complaint record for the 25 largest home insurance companies in Florida, and for the 25 companies selling the most new home insurance policies in Florida.
Visit my site to get price quotes, complaint statistics, and customer service & claims satisfaction ratings for all the leading auto & home insurance companies in the USA. How is your insurance company rated? Does it have a lot of customer complaints? Find out at my home page and CLICK HERE!
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The Florida Office of Insurance Regulation website is the source of my information about insurance companies offering new home insurance policies & complaint data. I provide the Florida complaint index for each home insurance company, but I devised a letter grade system to make it easy to tell a home insurance company with a great or good complaint record, from an home insurance company with a poor or average complaint record.
Usually, with my state insurance reviews, I like to list all the major insurance companies in the state and their complaint ratings, so you can shop with all the leading companies to find the best combination of coverage, price, and service.
Florida, however, is a challenging market for property insurance for both consumers and companies. The regular catastrophic risk of massive property damage due to hurricanes has caused many insurance companies to stop selling new home insurance policies, non-renew other policies, have frequent large rate increases, or cancel all their home insurance policies and pull out of the state altogether.
Unlike other states, I don’t think it is wise for Florida property owners to switch their home insurance lightly. In most states, you can get a combination of low rates, superior coverage, & great service. In Florida, home insurance shoppers often must take what they can get.
You may switch to a new company with a lower price, only to find coverage is more restrictive than your old policy, or a year later, the rates go up to make it much more expensive than your old policy. Your old company may no longer be selling new policies, so you may find you can’t switch back. You can switch to a new company with a better complaint rating and broader coverage, but have the coverage become more restrictive in coverage at your next renewal, or see complaints against the company increase, and not have many options to get a better price, coverage, or service.
Because a severe hurricane cycle is expected for the next 10-20 years, insurance companies will continue to limit insurance coverage and have large rates increases. Each year, you should talk to several local Florida insurance agents to review your coverage, to see if it has changed, and decide if it might be wise, or possible, to insure your property with a different company. Due to the possibility of huge financial losses from insurance claims, an insurance company’s financial strength should also be very important to you.
However, if you are buying a home, or your home insurance policy is being canceled by the company, or non-renewed, you have no choice but to shop for another home insurance company. There is a lot of great information for home insurance consumers on the Florida Office of Insurance Regulation website I link to earlier in this blog post, and I encourage you to check it out.
The companies listed in this blog post sold the most new home insurance policies in Florida, as of the third quarter of 2011, per the Florida Office of Insurance Regulation website. Some of these companies may only sell new policies under special circumstances, such as if a current home insurance customer buys a new home. For example, State Farm Florida Insurance Company appears on this list, but I was under the impression they were not selling new policies at all.
In order to avoid frustration, rather than listing the companies from best to worst by their complaint rating, I list them from the company selling the most new policies to the company selling the least new policies, so companies with good complaint ratings appearing earlier in the list are more likely to qualify you for a home insurance policy.
A company with a low complaint index, or no complaints in 2010, is a good sign. But if you wish to choose one of these companies, check to see if they have a significant market share and are not new to the Florida market in the last few years, to make sure the good complaint index is really reflective of the nature of the company’s customer service.
This list is a starting point for those people shopping their home insurance, and should be considered with other factors, and the advice of experienced agents, before choosing an insurance company.
Here is my grading system. I also list the Florida complaint index number. The lower the number the better the complaint record is for the company. A complaint index of 1.00 is average. Greater than 1.00 is worse than average, and less than 1.00 is better than average.
A+ = Insurance companies with complaints 25% or less than the average insurance company.
A = Insurance companies with complaints 50% or less than the average insurance company.
B = Insurance companies with complaints 90% or less than the average insurance company.
C = Insurance companies with complaints from 90% to 110% of the average insurance company.
D = Insurance companies with complaints from 110% to 200% of the average insurance company.
F = Insurance companies with complaints over 200% of the average insurance company. More than twice as much as average!
Consider these grades, along with price and other factors (as listed on my website), when choosing an insurance company.
Insurance companies frequently have several subsidiary home insurance companies. For example, ASI Preferred Insurance Corporation and ASI Assurance Corporation are separate companies, but both are part of ASI. Make sure you know the correct name of the insurance subsidiary quoting or insuring you, to check the proper complaint grade.
2010 Florida Home Insurance Complaint Ratings for 25 Companies Selling Home Insurance in Florida, as of the Third Quarter of 2011
Citizens Property Insurance Corporation = C (1.0234)
Universal Property & Casualty Insurance Company = D (1.7093)
American Bankers Insurance Company of Florida = F (2.6182)
Security First Insurance Company = B (.7050)
Castle Key Indemnity Company = A+ (.1863)
American Modern Insurance Company of Florida = A+ (No complaints in 2010)
ASI Preferred Insurance Corporation= A+(.1254)
American Integrity Insurance Company of Florida = F (2.5480)
United Property & Casualty Insurance Company = C- (1.0613)
St Johns Insurance Company = B (.7951)
Ark Royal Insurance Company = A+ (No complaints in 2010)
Florida Peninsula Insurance Company = F (2.3516)
Safe Harbor Insurance Company = F (2.1232)
Tower Hill Prime Insurance Company = B+ (.5275)
Cypress Property & Casualty Insurance Company = D+ (1.2338)
Sawgrass Mutual Insurance Company = D+ (1.2477)
Auto Club Insurance Company of Florida = B+ (.5380)
Olympus Insurance Company = C (1.0648)
Florida Family Insurance Company = A (.2577)
Southern Fidelity Insurance Company = C (1.0712)
State Farm Florida Insurance Company = A (.2835)
Federated National Insurance Company = D (1.6044)
Tower Hill Select Insurance Company = B+ (.5110)
First American Property & Casualty Insurance Company = A+ (No complaints in 2010)
ASI Assurance Corporation = C (1.0356)
Now you know how the insurance companies selling home insurance in Florida are rated for complaints, be sure to shop with the best ones when you need home insurance!
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