Insurers look to launch reciprocal exchanges in coastal states

Several insurers are considering setting up reciprocal exchange
vehicles in challenging states to offer agents alternatives to the
thinly capitalised carriers that dominate the coastal residential
market, The Insurance Insider can
reveal.
The model, employed by entities such as The Pure Group, Erie
Indemnity and Farmers Insurance Group, is structured with a
policyholder-owned reciprocal insurer and a separate
attorney-in-fact (AIF).
The AIF is a kind of independently owned managing agent that
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