I guess Warren Buffett has soured on at least part of the insurance industry. We have not.
AmGuard has announced that they have “initiated a process to withdraw from the Personal Lines marketplace for admitted business nationwide” and “will immediately stop accepting submissions for new and admitted Homeowners and Personal Umbrella policies and will subsequently non-renew existing policies…” To say that we are disappointed in their decision and the way it was done would be an understatement.
For our existing customers that we have placed with this company, our apologies. We had no warning that this action was even being considered. Fortunately, we have only been contracted with them for a few years and have relatively few customers placed with them. We have numerous other insurers with some of them even starting to say that they’re increasing their appetite to write new business – some good news for our existing customers and future prospects.
For the commercial accounts that we’ve placed with AmGuard this should have no immediate effect. But, it does serve as a warning. Just a note, Berkshire Hathaway owns Geico, also. Fortunately, we do not work with them.
AmGuard joins Kemper – and many others depending on the state – in leaving the personal lines marketplace in part or entirely. For many insurers it’s not profitable and they apparently don’t see a path to profitability in the foreseeable future. So, before you decide to change insurers or what insurer to go with, think twice. Read our previous article, “Shopping Your Home Insurance?” for more.
Next year may not be much better. Look for one of our future articles to address that.
#AmGuard #ScrewAmGuard #BerkshireHathaway
