Citizens Prepares To Move 400,000 Policies To Private Insurers
Legislative Session Coverage
TALLAHASSEE (CBSMiami/AP) – Roughly 400,000 Citizens insurance policyholders may find themselves with a new property insurance company by the end of November.
State regulators have signed off on a plan to give 10 different insurance companies nearly a third of all Citizens Property Insurance Corporations policyholders this year.
The shift from Citizens to a new company is done automatically unless a customer objects.
The state-backed Citizens is the largest residential property insurer with 1.22 million policyholders.
Gov. Rick Scott and other politicians have been pressuring Citizens to scale back its size due to fears a major storm could wipe out its reserves.
One of the companies slated to get 50,000 policies is Heritage Property Insurance and Casualty. The start-up insurer struck a controversial $52 million deal with Citizens earlier in the year to absorb policies.
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