A Florida appeals court last week said that Allstate can keepdoing business in the state, putting off a final decision onwhether Insurance Commissioner Kevin McCarty has cause to lift theinsurer's license.

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Mr. McCarty issued a suspension order on Jan. 17, but thecompany went to the First District Court of Appeal in Tallahasseeand secured a temporary restraining order, which is in effect untilan expedited appeal is heard.

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The court, in rejecting an immediate lifting of its stay of thecommissioner's order, said it was expediting a final appealprocess. On Jan. 31, the court directed the filing of a recordwithin 15 days, the initial brief within 10 days after that, theanswer brief 10 days after that, and the reply brief five daysthereafter.

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A decision will be rendered at any time after the reply brief isfiled, the court said.

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Part of the court's opinion said it was denying a motion by theNational Association of Professional Allstate Agents for leave tosubmit a friend-of-the-court brief supporting their company.

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The commissioner–who has challenged the company's requests for arate increase as well as its rate-setting practices–ordered asuspension when the company did not supply all the material hesubpoenaed for a hearing on the insurer's claims-handling methodsand other business activity.

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Allstate has argued to the court that the commissioner exceededhis authority, acted unconstitutionally, and was “taking punitive,vindictive measures under the guise of a so-called emergency.”

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Further, the company said the commissioner “damaged Allstate'sreputation” and harmed its companies, as well as “jeopardizing thelivelihoods of agents and their support staff…”

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Mr. McCarty, in response to the court's action, said in astatement that “while I am disappointed that the District Court didnot decide to reinstate my office's suspension of Allstate, I amencouraged that the court on its own motion has decided to expeditethe appeal process.”

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He added that he remains “committed to getting answers toquestions about Allstate's business practices and relationshipswith rating agencies, catastrophe modeling companies and industrytrade groups.”

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