January 13, 2012
By: Jana Bell
The disasters which have led to numerous home insurance claims in Alabama over the past several months have created some instability for insurers in the state.
Because of the recent issues, the Property Casualty Insurers Association of America is calling on state lawmakers to take steps to encourage competition in the state's insurance industry to allow consumers more options when looking for the best insurance rates.
"Increasing losses from hurricanes, tornadoes and other windstorms have forced property insurers in a number of coastal states, including Alabama, to reexamine their business strategies," said Monique Kabitzke, PCI's regional manager for Alabama.
Among the various steps the group recommended was for the state to enforce a statewide building code, work to better fight insurance fraud and modernize Alabama's insurance regulations. In addition, it asked the state allow residents to create tax-exempt "catastrophe savings accounts" to help them pay their home insurance deductible in the event of an issue.
This past spring, a series of tornadoes hit the state. The storms killed more than 200 people and led to approximately 165,000 insurance claims which could be worth more than $4 billion.
Related Home Insurance Articles:
- NOAA predicts near-normal Eastern Pacific hurricane season May 25, 2012
- Safety officials call attention to home sprinkler system regulations May 24, 2012
- Thousands of St. Louis insurance claims cite recent hail damage May 22, 2012
- Tropical Storm Alberto changes course away from Carolinas May 21, 2012
- California tops the nation in dog bite claims May 17, 2012
