Aetna to Drop Some Policies in Two States
HARTFORD,Conn. (AP) _ Aetna Life & Casualty Co. is dropping personal auto and homeowners’ insurance in New Mexico and Idaho, saying the business is unprofitable with little hope for much improvement.
Aetna stopped selling new auto and homeowners’ policies in New Mexico and Idaho last week. Starting in February, the company will not renew policies in New Mexico; in March it will not renew them in Idaho.
The decision is the latest move by Aetna to improve dreary financial results in personal insurance lines nationwide. The Hartford-based insurance giant had already dedicated itself to writing less personal auto insurance.
Aetna is not a major player in personal lines in either state. The company’s decision will affect 10,265 existing policies in New Mexico - 5,603 auto and 4,662 homeowners’ - which is about 1.5 percent of the market, said Aetna spokesman Sal Foti.
In Idaho, it said 4,140 policies will be affected - 1,802 auto and 2,338 homeowners. Idaho law will require Aetna to keep insuring customers who cannot find coverage elsewhere, Foti said.
Aetna has also stopped writing new personal auto policies in Rhode Island, and is challenging laws in Massachusetts that make it expensive for the company to withdraw from auto insurance there.