Florida Insurance Specialists - Federated National Jacks Premium 270% then Fails to Refund Proper Amount

Posted on Tuesday, January 28th, 2014 at 2:12pm CST by 82f17d05

Product: Federated National Home Insurance

Company: Florida Insurance Specialists

Location: 1025 Greenwood Blvd. Suite 300
LAKE MARY, FL, 32746, US

URL: http://www.thefis.com/

Category: Other

September 24, 2013 we contracted for home insurance with Federated National and paid the entire annual premium of $2107. At their request, we'd sent them a copy of a licensed home inspection we'd completed August 24, 2009.

November 20, WITHOUT ANY PRIOR NOTICE NOR ANY EXPLANATION, we received a notice of a "past due" bill for $3592. This unexplained bill implied an annual premium of $5699 ($2107+$3592), a sudden unilateral rate increase of 270%!

So that same day, I emailed our agent, Florida Insurance Specialists, to let them know of the incorrect "past due" notice we received from Federated National. Their agent wrote back "It?s their way of getting your attention. Don?t pay no mind to that." He said they simply wanted a re-inspection of our home on an updated form. I repeatedly made it clear in writing both to Federated National and to Florida Insurance Specialists that this higher rate was incorrect and unacceptable.

After we had our home reinspected at our expense, Federated National still insisted on a higher rate. So I immediately cancelled the policy effective December 31, 2013. The policy was in effect only 99 days but the $2107 we paid was for 365 days. Therefore the pro-rated amount of refund should have been?(365-99)/365 x $2107 = $1535.51. Yet Federated National refunded only $781. So they owe me $754.51 which they have refused to pay after numerous emails with both Federated National and Florida Insurance Specialists

No contract ever existed for a premium other than the $2107/year. Therefore it is clear that they owe us $754.51. I have filed a complaint with the State of Florida.


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