NATIONWIDE TO REDUCE PROPERTY EXPOSURE IN FLORIDA

Nationwide Insurance Co of Florida, a subsidiary of Ohio-based Nationwide Mutual Insurance, is to reduce its property exposure in Florida by not renewing nearly 40,000 homeowners and mobile-home policies and 12,000 commercial property policies from March 1, 2006. The company intends to cease writing Florida mobile-home cover altogether next September. “It has become increasingly apparent that we are not comfortable with our current exposure in the Florida property market”, said Jeff Rommell, Nationwide’s regional vice-president for Florida operations. “While these are difficult decisions, we have an obligation to act in a responsible and thoughtful manner to ensure long-term stability for Nationwide policyholders in Florida and across the country”. The elimination of the policies will leave the group with 240,000 homeowners policies and a total of 570,000 property policies in the state.