Florida Insurance Regulators Battle With Allstate
--- The Florida Office of Insurance Regulation is pushing to reinstate a suspension of Allstate's ability to write new auto policies. The state agency had imposed a suspension Jan. 16, but last Friday an appeals court judge issued Allstate a stay, the Orlando Sentinel reported.Meanwhile, Allstate yesterday turned over a set of controversial documents, hoping to resolve its conflict with the state agency. State insurance regulators believe the so-called McKinsey papers will shed light on how Allstate sets insurance rates for homeowners and auto policies. State regulators originally requested the documents in an October subpoena and ordered Allstate to turn them over at a Jan. 15 hearing addressing the company's property insurance rate increase requests. When Allstate didn't produce all the documents requested, Insurance Commissioner Kevin McCarty suspended Allstate's ability to write new auto insurance policies. Existing policyholders were unaffected by the suspension.In its request to reinstate the suspension, the Office of Insurance Regulation called Allstate's actions an "ongoing crime that in and of itself threatens safety and welfare of Florida citizens."Allstate, however, claims it has cooperated with regulators from the outset. The battle was touched off last fall when Allstate sought to raise property insurance rates by an average of more than 35 percent throughout Florida.