More bad news for Allstate (article) It keeps getting WORSE!
New York regulator changes insurance rules to help Sandy victims
ReutersReuters – 16 hours ago
(Reuters) - Insurers that cover New York residents whose homes suffered damage from the superstorm Sandy are required to accept homeowners' documentation of losses rather than send inspectors to survey the damage, a state regulator said on Monday.
New York Governor Andrew Cuomo directed the state's Department of Financial Services to issue the order so that residents will be able to discard debris before a second storm hits the region later this week.
The state also imposed a 30-day moratorium on canceling or terminating insurance policies for homes and small businesses, even if the policy-holders do not pay premiums.
"We are acting to preserve homeowners' insurance rights when much is beyond their control," Cuomo said in a statement. "They have suffered enough and should not be hurt further by red tape or technicalities."
Other governors will soon adopt this rule that will cost Allstate substantially more. Wow, they are REQUIRED to accept homeowners claims. THAT LEAVES ZERO NEGOTIATING AND WIGGLE ROOM FOR ALLSTATE. Additionally, they can't cancel or terminate policies even if they haven't paid their premium. So they will be millions of people now not paying, while forcing the insurance companies not to cancel their policies and take the insurers word for their losses? Boy, when the election is over and the street digests this, this is going to pull Allstate down another 10% if not more. Plus, another storm is on the way and, did I mention Allstate can't cancel and have to take the insurers word for damages, while paying NO deductible and can stop paying their premiums and they are still covered. What a deal for the homeowners,business owners, car owners.