Last week, we reported the Florida Insurance Commissioner had suspended Allstate from writing new policies after it failed to comply with the Commissioners’ subpoena regarding Allstate’s steep increase in property insurance premiums. Reuters reports that on Friday, the Florida Court of Appeal stayed the Commissioner’s order for ten days, allowing Allstate’s 1,100 Florida agents to continue doing business there.
Florida has been investigating whether Allstate and other insurers colluded to prevent property insurance rates from declining despite legislation last year to reduce premiums. Insurers paid about $35 billion in claims for property damage related to the eight hurricanes in 2004 and 2005.
