TALLAHASSEE, Florida - State Farm Florida Insurance Company wants to raise property insurance premiums for owners of rental buildings as high as 197 percent.
That would translate into a nearly $10,000 rate hike for landlords in Monroe County, raising their annual premium from an average of about $4,000 to $14,000.
State Farm executives raised their right hands and promised to tell the truth during a hearing before the Florida Office of Insurance Regulation on Wednesday.
State Farm Florida is asking regulators for permission to increase property insurance premiums an average of 58 percent for owners of rental buildings.
Currently landlords in Florida pay an average of $635 a year for State Farm's coverage. This rate request would boost the average premium to about $1,100.
Bob Lee of the Florida Office of Insurance Regulation says the request for rate changes across the state will get a thorough examination.
"It varies a lot by area. There are some areas that are much higher. But we will do a very detailed review and just because 58 percent is filed doesn't necessarily mean that will be approved."
The proposed rate hikes range from a low of 8.9 percent in Franklin County to a high of 197 percent in Monroe County.
State Farm's request would affect more than 33,000 policies. Lee says nearly 1,000 policies would see premium increases of 100 percent or more.
The Office of Insurance Regulation is expected to rule in the coming weeks.