Citizens Property Insurance Corp. has been given state permission to shift nearly 80,000 policies to the private market.
As regulators approved another round of policy “takeouts” from Citizens Property Insurance Corp. on Friday, the state-backed insurer says it can get smaller than previously thought.
The Florida Office of Insurance Regulation approved another 10,000 residential policies to be shifted from Citizens Property Insurance Corp. to a private carrier.
State insurance fraud agents call it Operation Leaky Pipes–a countywide effort to bust homeowners who inflated or created water damage in their homes and filed phony insurance claims to have repair work done.
Florida’s insurer of last resort, Citizens Property Insurance, will launch another new program seeking to shift policies onto the private market.
About 160,683 property insurance policy holders will have to decide within 30 days whether they want to stay with new private carriers or go back to the state-backed Citizens Property Insurance Corp.
The Office of Insurance Regulation announced Monday that it has approved an overall statewide rate hike of 6.3 percent for Citizens Property Insurance Corp. Citizens is the state’s largest property insurer with 1.22 million policyholders.
Roughly 400,000 Citizens insurance policyholders may find themselves with a new property insurance company by the end of November.
Citizens, Florida’s largest property insurance provider, has approved yet another round of rate hikes that could affect over a million policy holders.
Property owners covered by Citizen’s Property Insurance may have a cheaper option that they are not aware of.