Alabama Insurance

Alabama Insurance Commissioner Walter Bell insurers to reduce the coast of customers, including homeowners report has been abandoned because they are not additional measures with business.

And Bell said Friday in a press release, businesses are forced, obscene, insurance damage future customers to transfer their car or life insurance, before you buy coverage from their homes.

“These activities, we firmly believe, are prohibited by the Trade Practices Law Alabama,” said a press release from Bell. “The law expressly states that the incentives to the policy are prohibited.”

Last spring, Allstate Insurance Co., Alabama, the third of the property insurer, Hurricane deductions coverage about 10500 people in the counties of Mobile and Baldwin wrote in a letter to its customers that it has been abandoned, because it is not as automatic or life insurance policies with the Illinois company.

Since then, Bell has consistently raised his dissatisfaction with Allstate’s move in his public appearances. Assistant Insurance Commissioner RAGAN Ingram said Friday that the Department has spent almost a year of study Alabama law, learn, as other countries have dealt with similar situations and meditative his reply.

“We measured twice, before we decided to remove the panel and decided, is responsible to make regarding the market and it is also in line with the Alabama law,” said Ingram.

Since the devastating hurricane season of 2004 and 2005, insurers, in an effort to limit their exposure to large claims, have built thousands of owners of pets policy in Alabama’s coastal counties, and derive the price for reports That provision. From the beginning, Bell said he prefers to remain cautious when regulating the market and thus heal itself.

Its mission, insurers February 14, is the highest position, which he made with the state of the vast property of the insurer. Friday was the deadline for response to Bell’s.

Ingram said, while other undertakings required new customers to buy automobiles and life insurance policies before more damage to property, Allstate is the only department to know that existing customers east past not give other business opportunities. Although Allstate said that regulators of the state, it has not yet been achieved, it does not mandate Bell reoffer coverage declined by 10500 in the year 2007.

“We are currently in the process of initiating a constructive dialogue with the Alabama Department of Insurance, and we are pleased that dialogue,” said Allstate spokesman Shane Robinson.

After Insurance Department, Allstate had a 11.6 percent share of Alabama property insurance market during the year 2006. The company had a value of approximately $ 124 million in premiums.

Frank Madison, an Allstate customer for a long time, the company went to last spring, he assured, since its Cottage Hill home with the firm while the state and it pays more than him with Allstate, there was no possibility, it would be even if Allstate.

“I would not be any type of insurance Allstate, not even for a doghouse,” he said Friday. “I’m bitter about it.”

In the Perdido Beach County Area south of Baldwin, Steve Foster and Sandi said they had sight, a return to Allstate, if the price was correct. If they have been abandoned and they bought new hurricane report Alfa, Montgomery society requires that their ATM insurance, while the rate of double what the couple had paid.

Alfa, Ingram said, was the only other company, a response to Bell’s. Company officials said that the regulatory authorities they would not need more customers for the purchase of new policies have covered their houses.

“The Commissioner is of order and, of course, we will obey,” said Alfa spokesman Dave Rickey.