FULL DESCRIPTION
21st Century Holding Company is an insurance holding company, which, through its subsidiaries and its contractual relationships with its independent agents and general agents, controls all aspects of the insurance underwriting, distribution and claims processes. The Company is authorized to underwrite homeowners’ multi-peril, commercial general liability, personal and commercial automobile, fire, allied lines, surety, commercial multi-peril and inland marine in various states on behalf of its wholly owned subsidiaries, Federated National Insurance Company (Federated National) and American Vehicle Insurance Company (American Vehicle) and other insurance carriers. It markets and distributes its own and third-party insurers’ products and its other services through contractual relationships with a network of approximately 4,200 independent agents, of which approximately 300 actively sell and service its products. The Company also utilizes a select number of general agents for the same purpose.
The Company is authorized to underwrite homeowners’ multi-peril, commercial general liability, personal and commercial automobile, fire, allied lines, surety, commercial multi-peril and inland marine in various states on behalf of its wholly owned subsidiaries, Federated National and American Vehicle. Through contractual relationships with a network of approximately 4,200 independent agents, of which approximately 300 actively sell and service its products, Federated National is authorized to underwrite homeowners’ multi-peril, fire, allied lines and personal automobile insurance in Florida. American Vehicle is licensed as an admitted carrier in Florida, and underwrites commercial general liability, and personal and commercial automobile insurance. American Vehicle is also licensed as an admitted carrier in Alabama, Louisiana and Texas, and underwrites commercial general liability insurance in those states. American Vehicle operates as a non-admitted carrier in Arkansas, California, Georgia, Kentucky, Maryland, Missouri, Nevada, Oklahoma, South Carolina, Tennessee, and Virginia, and can underwrite commercial general liability insurance in all of these states.
Federated National underwrites homeowners’ insurance primarily in the South, West and Central Florida regions. Homeowners’ insurance generally protects an owner of real and personal property against covered causes of loss to that property. Its homeowner insurance products typically provide maximum dwelling coverage in the amount of approximately $0.8 million, with the aggregate maximum policy limit being approximately $1.5 million. During the year ended December 31, 2009, the Florida OIR granted Federated National the authority to write commercial residential property insurance under the fire line of business. This class of business affords property coverage primarily to associations with property commonly owned by the tenants of the association.
The Company underwrites commercial general liability insurance for approximately 250 classes of artisan (excluding home-builders and developers) and mercantile trades (such as owners, landlords and tenants). The limits of liability range from $100,000 per occurrence with a $200,000 policy aggregate to $1.0 million per occurrence with a $2.0 million policy aggregate. Personal automobile insurance markets can be divided into two categories, standard automobile and nonstandard automobile. Standard personal automobile insurance is principally provided to insureds who present an average risk profile in terms of driving record, vehicle type and other factors. Nonstandard personal automobile insurance is principally provided to insureds that are unable to obtain standard insurance coverage because of their driving record, age, vehicle type or other factors, including market conditions. Federated National writes flood insurance through the National Flood Insurance Program (NFIP).
Assurance MGA, a wholly owned subsidiary of the Company, acts as Federated National’s and American Vehicle’s managing general agent in Florida and is also licensed as a managing general agent in the states of Alabama, Arkansas, Georgia, Illinois, Louisiana, Mississippi, Missouri, New York, Nevada, South Carolina, Texas and Virginia. Superior processes claims made by insureds from Federated National and American Vehicle. Federated Premium provides premium financing to Federated National's, American Vehicle’s and third-party’s insureds.
The Company competes with Allstate Insurance Company, First Floridian Insurance Company, Universal Insurance Company of North America, Universal Property and Casualty Insurance Company, United Property and Casualty, Royal Palm Insurance Company, Edison Insurance Company, Olympus Insurance Company, St. Johns Insurance Company, Cypress Property and Casualty Insurance Company, Tower Hill Insurance Company, Florida Family Insurance Company, Homeowners Choice Property and Casualty Insurance Company, American Strategic Insurance Company, Century Surety Insurance Company, Atlantic Casualty Insurance Company, Colony Insurance Company, U.S. Security Insurance Company, United Automobile Insurance Company, Direct General Insurance Company, Ocean Harbor Insurance Company, Security National Insurance Company, Progressive Casualty Insurance Company and GEICO.
Source:reuters
