FSLSO TO REDUCES SERVICE FEE BEGINNING APRIL 1, 2006

The Florida Department of Financial Services, Office of Insurance Regulation has approved a reduction in the service fee charged by the Florida Surplus Lines Service Office (FSLSO) from 0.25% to 0.2%, effective April 1, 2006.

All new and renewal policies/certificates with an effective date on or after April 1, 2006 will incur a service fee of 0.2% of the total gross premium. 

All endorsements, audits, installments, cancellations or return of premium transactions will be the same fee rate as applied at the inception date of the policy/certificate.

For more information and a copy of the FSLSO Bulletin 2005-005, visit:
http://www.fslso.com/publications/press/fslso/bulletin-2005-05.aspx

A.M. BEST CO. DOWNGRADES MISSISSIPPI MFBC

A.M. Best Co. has downgraded the financial strength rating (FSR) to B++ (Very Good) from A++ (Superior) of Mississippi Farm Bureau Casualty Insurance Company (MFBC) (Jackson, MS) and has placed the rating under review with developing implications.

MFBC previously received the FSR of A++ (Superior) of its parent, Southern Farm Bureau Casualty Insurance Company (SFB) (Ridgeland, MS), as a result of a 100% quota share reinsurance agreement. However, MFBC has purchased the renewal rights of Mississippi Farm Bureau Mutual Insurance Company (MFBM) (Jackson, MS), which changes the risk profile of MFBC as it will now retain property risks. As a result, MFBC no longer meets the criteria to receive the FSR of its parent and is being rated as a separate affiliate.

To read the complete story, please visit: http://www.fslso.com/goto.aspx?ID=49

FSLSO HOLIDAY SCHEDULE
Everyone at FSLSO would like to wish our members and their staff a safe and happy holiday season! FSLSO will be closed December 23-26 and on January 2 in observance of the holiday season.