Shell Game: Florida insurance companies steered money to investors while claiming losses

[DrQ]

Florida insurance companies steered money to investors while claiming losses, study says​

TALLAHASSEE — While Florida insurers claimed to be losing money in the wake of hurricanes Irma and Michael, their parent companies and affiliates were making billions of dollars, according to a study obtained by the Times/Herald.​

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The start of the state’s insurance market meltdown came on the heels of those two storms between 2017 and 2019, as companies justified big rate increases to cover their losses.​

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But those financial hardships don’t tell the full story, according to the 2022 study that has never been made public and was released to the Times/Herald after a two-year wait for public records.​

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The report, the most in-depth dive into the byzantine finances of Florida’s homeowners insurance market, reveals that as the industry was ailing and companies were losing money, executives distributed $680 million in dividends to shareholders while diverting billions more to affiliate companies.​

Florida insurance companies steered money to investors while claiming losses, study says

The report was never given to lawmakers.

www.tampabay.com

 

[Tia]

Unbelievably crooked, like money laundering