
Say, it’s only a paper moon
Sailing over a cardboard sea
But it wouldn’t be make-believe
If you believed in me
It’s a Barnum and Bailey world
Just as phony as it can be
But it wouldn’t be make-believe
If you believed in me
State Farm’s decision to withdraw from Florida adds rich context for “the scheme“. Take a look at “the scam” reported in the Miami Herald.
As part of State Farm Florida’s plan to stop writing property casualty insurance in the state, the company must move about 161,000 auto insurance policies from an affiliated company that sells homeowners coverage nationwide but not in Florida.
The shift is State Farm’s attempt to comply with a state law that prohibits an insurance company or an affiliate from selling auto insurance in Florida if doesn’t offer homeowners coverage here as well.
State Farm Fire & Casualty, a national subsidiary of State Farm Mutual, sells auto insurance nationwide and has about 161,000 auto policies in Florida. It also offers homeowners coverage, except in a few coastal states including Florida.
Drivers covered by State Farm Fire will be offered policies by State Farm Mutual Insurance, the parent company for both State Farm Fire & Casualty and State Farm Florida.
State Farm Mutual doesn’t sell homeowners coverage in any state.
That’s right, State Farm Mutual is a shell – pick that one and you’ll find the money that could keep State Farm Florida from going under.
… when a wager for money is made…[a shell game becomes]… a confidence trick used to perpetrate fraud. In confidence trick slang, this famous swindle is referred to as a short-con because it is quick and easy to pull off.
Pick another, however, and you’ll find State Farm scamming its agents. Continue reading “of paper moons and cardboard seas – first “the scheme” now State Farm reveals “the scam””