It seems that Allstate’s doors are open for new business again. Seen in Insurance Journal:
Allstate Insurance Co. filed a motion Monday with Florida’s First District Court of Appeal requesting a rehearing of an opinion the court issued on April 4, which lifted a stay of suspension to write new business.
The suspension of Allstate remains stayed until final disposition of the case, meaning the company can continue writing new business in Florida – for now.
A couple of press reports I’ve seen had suggested that the massive claims document release had something to do with Florida’s suspension of their license. I had thought I had missed something, until this comment made me feel a bit better:
Mike Siemienas of Allstate said the insurer’s release of the McKinsey & Co. report had nothing to do with the Florida subpoena. He said the release of the 150,000 page review of the company’s claims practices happened to coincide with the Florida legal issue, but added that a combination of unrelated factors prompted the action.
Given the market climate in Florida, I’m still rather amazed that the Department would consider any enforcement action that constrains capacity for any reason short of extreme financial impairment. However, politics and the institutional illogic in some bureaucracies escape my understanding sometimes.