Let’s face it: our insurance rates are extremely high here in South Florida. Whether it’s your auto insurance, home insurance, medical insurance, commercial business insurance etc., it can be super frustrating getting that bill in the mail or even worse your renewal notice showing that your rates have yet again been raised by your insurance company! But why exactly are our rates so expensive down here? The answer is not so simple, it’s the large amounts of insurance fraud that the state of Florida harbors – especially the Miami/Fort Lauderdale metropolitan area.
According to the FTC, 18 Florida cities made the list of the country’s top 50 cities for fraud. All of the major cities in Florida are pressure points for all types of fraud from fraudulent phone calls to fraudulent insurance claims. Insurance companies can hardly keep up with the amount of claims that come pouring into their claims department. As a result of the FTC’s report, Floridians lost more than $84 million dollars in the last year alone. When fraudulent claims go up they bring your insurance rates with them.
How can you combat insurance fraud and make sure you’re receiving the best possible rate on your policy? For one, reporting scammers is a great way to crack down on them. The state of Florida has partnered with insurance companies to offer rewards for reporting scammers trying to get a quick insurance payout.
Another way is to only speak to your insurance company regarding a claim you may need to file. Your insurance company is on your side and is ready to help you get back on your feet after a loss.
Avoid any of these quick pay attorneys or companies who promise to get you maximum payouts. They usually only work for themselves and try to drain your policy dry. In that aspect, no one wins. A final way is to always shop your insurance policy rates – even before every renewal coming up. Rates in Florida continue to go up and down so it’s worth it to shop around and to know your options.
If you need any assistance or guidance, we here at Cover All Insurance Agency would love to help! Let us review your policies and see if we can save you any money – it usually only takes a few minutes to possibly save you hundreds and save you a headache of trying to do it on your own. We look out for you!