Progressive Home Insurance
Over the course of the next two years, Progressive will end its
brief flirtation with selling home insurance and gradually pull out
of the market.
Progressive, which offered home insurance only in Arizona,
Illinois, Maryland, Michigan, and Texas, will continue to sell new
home insurance policies until May 3, 2002, except in Texas, where
the insurer had earlier placed a moratorium on new business.
The insurer will offer renewals to current home insurance
policyholders at least through Feb. 28, 2003, allowing some
Progressive policies to remain in force through Feb. 28, 2004.
Progressive says it would need to significantly increase its
investment in systems infrastructure and personnel to stay
competitive in home insurance.
Prior to issuing nonrenewable notices, Progressive plans to explain
its decision to current policyholders in a letter, messages in
installment bills, memos, and other correspondence. Progressive
began selling home insurance in 2000.
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