Last Tuesday the state Insurance Consumer Advocate (ICA) dispatched a letter to Insurance Commissioner, Kevin McCarty, requesting an investigation of Universal Property & Casualty’s claim practices. Citing examples of claim denials due to material misrepresentations on the original application, the letter states:
In the three cases that have been handled in my office, the policyholders have had insurance coverage with Universal Property and Casualty Insurance Company (Universal) for at least 18 months and up to four years and have had their policies cancelled or rescinded as of the original policy’s effective date for misrepresentation after they filed a claim. All cases involved previous financial issues such as bankruptcy or a lien which occurred up to four years before the consumer applied for insurance coverage with Universal. [Read more…] about A RUBIKS CUBE: Post Claims Underwriting & FS-627.409