United Insurance Holdings Corp. Announces the Sale of Its Florida Personal Lines Renewal Rights to Slide Insurance, Inc.
February 01 2023 - 10:30AM
Business Wire
United Insurance Holdings Corp. (Nasdaq: UIHC), a
property and casualty insurance holding company (“UPC
Insurance”), announced today that it has sold the renewal
rights to UPC Insurance’s personal lines business in the state of
Florida, and sold certain data and intellectual property to Slide
Insurance, Inc. (“Slide”). The transaction accelerates the
run-off of UPC Insurance’s personal lines portfolio, further
reducing its exposure to Florida liabilities and allowing UPC
Insurance to focus on its fast-growing commercial specialty
property portfolio, underwritten by American Coastal Insurance
Company.
Under the terms of the transaction, UPC Insurance will cancel
approximately 72,000 Florida personal lines policies on February 1,
2023, and Slide will immediately issue replacement policies.
Additionally, Slide will make offers of coverage to additional
Florida personal lines policies expiring in April 2023. UPC
Insurance retains all liabilities with respect to claims with a
date of loss on or prior to January 31, 2023.
UPC Insurance and Slide also entered into an Asset Purchase and
Services Agreement effective February 1, 2023, whereby UPC
Insurance sold certain intellectual property and data to Slide and
UPC Insurance will provide Slide with policy administration
services in exchange for two percent (2%) of gross earned premium
of the policies subject to the Renewal Rights Agreement plus costs
incurred by UPC Insurance to provide services.
About UPC Insurance
Founded in 1999, UPC Insurance is an insurance holding company
that sources, writes and services personal and commercial
residential property and casualty insurance policies using a group
of wholly owned insurance subsidiaries through a variety of
distribution channels. The Company currently writes policies in
Florida, Louisiana, New York, and Texas. The Company also writes
policies in South Carolina and North Carolina, where renewal rights
have been sold and all premiums and losses are ceded.
Forward-Looking Statements
Statements made in this press release may be “forward-looking
statements.” These statements are made subject to the safe-harbor
provisions of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements do not relate strictly to
historical or current facts and may be identified by their use of
words such as “may,” “will,” “expect,” "endeavor," "project,"
“believe,” "plan," “anticipate,” “intend,” “could,” “would,”
“estimate” or “continue” or the negative variations thereof or
comparable terminology, and include statements regarding signing
definitive documentation for the transaction, receipt of regulatory
approvals and effectiveness of the quota share reinsurance
agreement. We believe these statements are based on reasonable
estimates, assumptions and plans. However, if the estimates,
assumptions or plans underlying the forward-looking statements
prove inaccurate or if other risks or uncertainties arise, actual
results could differ materially from those communicated in these
forward-looking statements. Factors that could cause actual results
to differ materially from those expressed in, or implied by, the
forward-looking statements may be found in our filings with the
U.S. Securities and Exchange Commission, including the “Risk
Factors” section in our most recent Annual Report on Form 10-K and
subsequent Quarterly Reports on Form 10-Q. Forward-looking
statements speak only as of the date on which they are made, and,
except as required by applicable law, we undertake no obligation to
update or revise any forward-looking statement.
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version on businesswire.com: https://www.businesswire.com/news/home/20230201005717/en/
United Insurance Holdings Corp. Alex Baty Director of
Financial Reporting (727) 895-7737 /
abaty@upcinsurance.com INVESTOR RELATIONS:
The Equity Group Karin Daly Vice President (212) 836-9623 /
kdaly@equityny.com
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