State Farm won't handle claims for Flood Insurance Program

 Tuesday, June 8, 2010

 National Underwriter

State Farm Mutual Insurance Company said it plans to stop handling claims for the National Flood Insurance Program but will continue writing policies. The Bloomington, Ill.-based insurer is the largest administrator of NFIP policies, serving over 800,000 customers nationwide-40 percent of them in Florida. Under the new system, State Farm agents will handle reports of claims for policies where State Farm provides homeowner's coverage as well as writes flood policies. But claims will either be handled directly by the Federal Emergency Management Agency or its designee, according to Phil Supple, a State Farm spokesman.
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