The parent company of United Property & Casualty Insurance Co., a major player in Florida’s property insurance market, said its board has begun a “review of its strategic and capital-raising alternatives” that could include actions such as a sale.
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Petersburg-based United Insurance Holdings Corp. made the announcement in a press release Wednesday amid widespread financial troubles in Florida’s property insurance industry.
“As part of this process, the Board of Directors will consider a wide range of options for the company, including a potential sale, merger, subsidiary divestiture, formation of a new Florida-domiciled reciprocal exchange, as well as as the sale of equity, excess notes or other financing or strategic transactions,” the press release read.
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“There can be no assurance that this process will result in the Company pursuing any particular transaction and the Company does not intend to disclose further developments unless and until it determines that a further disclosure is appropriate or necessary.”
The company had about 185,000 policies in Florida as of March 31, up from nearly 199,000 at the end of 2021, according to an investor presentation in May. United Insurance Holdings posted a net loss of $33.2 million in the first quarter of 2022.
As of March 31, the company also had policies in South Carolina, North Carolina, Texas, Louisiana, Georgia and New York, according to the investor presentation.
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