In the wake of backlash, rating firm delays ratings for 17 carriers.

A firestorm erupted over potential ratings downgrades for 17 Florida insurance companies.

Insurers who are healthy are lumped in with those on the verge of failure, and Demotech scores them inconsistently.

The Florida market badly needs a new rating organization, several have said.

Others point out that the bad news has been building for years, and that many carriers have already been warned.

Friedlander and others believe downgrades are practically inevitable due to a lack of affordable reinsurance.

Meanwhile, Demotech has suffered from backlash, whether disingenuous or not.

In a statement, Petrelli stated that rating announcements were delayed while further discussions were conducted with carriers.

The ratings will be released at the same time, Petrelli said, but he did not specify when. Ratings may not be revised significantly.

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