Mortgage servicers are issuing more forced-placed insurance on loans secured by Florida properties than any other state. But some borrowers in the state claim that the coverage and premiums are ridiculously high and are taking their grievances to court. Sworn testimony before the United States Judicial Panel on Multidistrict Litigation indicated that forced-placed insurance premiums on Florida mortgages totaled $1.2 billion during 2011. That was three times the amount of premiums sold in California and more than any other state. But some borrowers claim that they are being saddled with unnecessary policies or far more coverage than needed.
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