Slide Insurance, the full-stack homeowners insurtech, has acquired renewal rights for 86,000 Florida homeowners insurance policies from Farmers Insurance.
The transaction, however, does not include Farmers Insurance renters, auto, or umbrella policies.
It has been confirmed, that to facilitate a seamless transition, Farmers agents across Florida will be offered an appointment with Slide. All renewals issued by Slide will begin for February 2024 effective dates.
If you recall, in July, Farmers announced that it would no longer be offering coverage in Florida, ending auto, home, and other policies in the state, with the decision impacting an estimated 100,000 policyholders.
This has also resulted in Farmers becoming the fourth major insurer to pull out of Florida within the past year, joining Lexington Insurance, a subsidiary of AIG.
“We remain bullish on Florida’s insurance market and believe the market is ripe for an innovator like Slide. The timing is right for us to scale our business and do our part to foster long-term stability in this market. The transaction with Farmers® will provide policyholders a seamless transition and ongoing coverage,” said Bruce Lucas, Founder and CEO of Slide.
Adding: “We have the technology, data set, and expertise to make better, faster decisions. Slide is profitable, has strong capitalization, and unlike legacy insurers, we’re not burdened by years of prior claims and litigation that still need to be resolved.
“We’re pleased to have the opportunity to acquire renewal rights to these policies from Farmers and are committed to providing much-needed insurance capacity to Florida homeowners.”
Florida Chief Financial Officer, Jimmy Patronis, commented on the news, “The fact that Slide is picking up 86,000 policyholders is great news for those who were getting dumped by Farmers. It also demonstrates that carriers are finding more opportunities, in Florida’s insurance environment, after the reforms we enacted. The coverage that Slide will provide will make policyholders’ lives easier – and we’ll continue working to attract more carriers to Florida.”
As part of this transaction, Farmers will also continue to comply with applicable emergency orders issued by the Florida Office of Insurance Regulation and other public agencies.
Following the acquisition of renewal rights to over 91,000 policies from UPC Insurance earlier this year, Slide has continued to build strong financial stability.
It was reported in July, that the firm had finalized its second $100 million catastrophe bond.
Then, in June, Slide secured $35 million in additional capital through a senior credit facility with Regions Bank.