Allstate is dropping about 10,000 South Carolina home insurance customers.
The Post and Courier of Charleston reports the company is dropping customers who don't also carry Allstate auto coverage, have older homes and who insure their homes for less than $220,000. Allstate is the second-largest writer of homeowner insurance in South Carolina. It has about 140,000 policies, second to State Farm's 300,000 policyholders. Allstate spokesman Tracy
Owens said it was a difficult decision but the company needs to drop the customers to remain financially strong for all its customers. State Insurance Department spokeswoman Ann Roberson said Allstate is directing its customers to a competitor, Coastal Risk Underwriters.
So what does this mean for folks across the state?
"It shouldn't create a ripple effect that will sends customers into an environment where they can't find coverage," Dubisky said. "Currently our state has about 120 different companies that are writing property and casualty insurance in the state, so even if you are a customer that is being impacted by this, your agent should be able to help you find coverage elsewhere."
Allstate says more than 90 percent of their policy holders are not impacted by this news. Customers affected will be contacted by mail.