Allstate, the reinsurer of renters insurance in Florida, announced Thursday that it is waiving coverage for renters in the Sunshine State if the homeowner or other occupant has died.
The move comes after a lawsuit filed by a woman claiming her insurance policy did not cover her when her husband’s body was found by firefighters in her condo last year.
A Florida law requires that policies covering renters in Florida cover losses caused by a death or injury to a rental property, even if the property owner is deceased.
The law does not apply to homeowners or tenants who are “deadly or incompetent” to handle the loss of a property.
The Allstate policy does not cover renters who have died as a result of a home invasion, fire or other emergency, the insurer said in a statement.
A spokeswoman for Allstate declined to comment further.
The Florida Law Enforcement Association has sued Allstate in the state’s 4th District Court, alleging that the company did not comply with the law and did not take reasonable steps to protect the safety of its customers and customers of other insurers.
The state Attorney General’s Office filed a motion asking the court to dismiss the case, saying Allstate did not act in a timely manner to address the complaints.
Allstate did file a notice of appeal.