According to media reports, AAA Insurance is planning to remove some policies from its portfolio due to non-renewals. This seems to be how it manages its exposure in Florida.
AAA Insurance in Florida offers auto, homeowners and bundle policies in the state.
According to media reports, the company has been the most recent to attempt to reverse its decision and cited disaster exposure as the main reason.
Reports quote AAA as saying that 2022’s “catastrophic hurricane season contributed to an unprecedented rise in reinsurance rates, making it more costly for insurance companies to operate,” in the state of Florida.
Adding that, “We are encouraged by the statutory changes that have recently taken effect and believe they will provide positive results.
“Those improvements will take some time to fully materialize and until they do, AAA, like all other providers in the state, are forced to make tough decisions to manage risk and catastrophe exposure.”
The company has stated that AAA will not be leaving Florida but rather, they have decided to stop renewing certain policies when they reach the end of their term.
