Florida's report on Mgas fell through the cracks, say commissioners

A report on the report in which the relationships between Florida and insurer were examined with their general agents in Florida fell through the cracks and was never ended, a current and a former state insurance commissioner informed state legislators at a hearing last week.

“We have to make sure that we see whether there is a fire fire or not,” said former commissioner David Altmaier on Thursday the subcommittee of the Florida House Insurance. “It was the effort I thought when I left the office.”

The current commissioner, Michael Yaworsky, said that the Office for Insurance Regulation may not have thought about the report based on personnel issues and other concerns about how the real estate insurance crisis has escalated in recent years.

The subcommittee, chaired by MP Brad Yeager, called for the civil servants after the spokesman for House, Danny Perez, had agreed to investigate house investigations in March. The Tampa Bay Times and the Tallahasee Bureau of Miami Herald's reported that the OIR analysis indicates that Florida insurers had sent billions from dollars to their MGAs while looking for bad financial roads and increasing interest rate increases. Legislators have announced that they were not informed of the report when insurance reforms were approved in 2022.

Industry voices have pushed back and found that the OIR report was incomplete, did not tell the whole story that MGAS did not pour money away from the airlines and that the OIR test on MGAS was already exacerbated. The fees for business companies are not unusual and not outside the line. Yaworsky said his office needed more authority to check the fair and appropriate services that are provided by the partner companies of the insurers, reported the Times.

MP Jennifer Kincart Jonsson found that the OIR report recorded an MGA of an insurer about a profit of 7 billion US dollars, while the freight forwarder recorded a net loss of $ 37 million. Altmaier called this “a deeply disturbing data point”, about which OIR employees had concerns. “We didn't know where this income went. We didn't have this visibility at that time. So we had a lack of understanding that a profit of 7 billion US dollars is sitting there and acting as a rainy day fund for the insurance company on the street. So there are many questions that we also had. “

The legislature of the subcommittee vowes to uncover further details about MGAS and insurers. The three-hour hearing can be seen on the Florida Canal. Further hearings are planned for this week.

Topics
Florida insurance wholesale