Slide acquires renewal rights for 86K Farmers' home policies in Florida
As it stands, the insurtech has roughly 170,000 home insurance policies in the state.
Insurtech Slide Insurance has acquired the renewal rights for 86,000 home insurance policies in Florida from Farmers Insurance, which previously announced it would not renew the policies as it pulls back in the state.
The move does not include any of Farmers’ renters, auto or umbrella policies. Renewals from Slide will begin for February 2024 effective dates and Farmers agents in the state will be offered appointments with the insurtech.
“The timing is right for us to scale our business and do our part to foster long-term stability in this market. The recent reforms are working and the Florida insurance market is stabilizing,” Slide founder and CEO Bruce Lucas said in an emailed statement. “This transaction would not be possible without the efforts by Florida CFO Jimmy Patronis, who worked tirelessly to find a solution for all policyholders. We are glad to have the opportunity to provide much-needed capacity to the market and provide an option for these 86,000 policyholders.”
While some carriers have been shrinking away from the state, Slide appears confident as it grows its policy count. In addition to policies it picked up from UPC, the insurtech has also picked up policies from Citizens Property Insurance, as part of the depopulation of the state’s insurer of last resort. Slide reported it has roughly 170,000 policies in the state.
In a press release, Florida CFO Jimmy Patronis said: “The fact that Slide is picking up 86,000 policyholders is great news for those who were getting dumped by Farmers. It also demonstrates that carriers are finding more opportunities, in Florida’s insurance environment, after the reforms we enacted.”
Policyholders will see rate increases with these renewals, but Lucas said the rates will be on par with those of other private insurers still operating in the state.
“Farmers rates were not actuarially sound for the Florida risk exposures and outsized litigation. This is the primary reason the market has seen so many insurers leave the market or go insolvent,” Lucas said. “The State of Florida has been tirelessly working to fix Florida’s insurance market. Their efforts are working and the progress being made gives Slide renewed confidence to invest in Florida and continue to grow our business.”
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