Viewing Entries Tagged: Florida homeowners insurance
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Tuesday, January 24, 2012
Florida’s Insurer Citizens is Reducing in Size
Posted In Categories: Florida Homeowners, Tampa Real Estate
Florida homeowners know that Citizens Property Insurance is the insurer of “last resort.” Unfortunately due to this fact, there are a gigantic number of policies in Citizen’s portfolio since many other insurers have left the state. The companies overall exposure is estimated around $500 billion. Citizen’s would be unable to pay claims in the event of a catastrophic hurricane with it’s current portfolio which would lead to a surcharge on Citizen’s policyholders and consumers who have coverage with other companies as well. In an effort to reduce Citizens’ size, the Office of Insurance Regulation signed off on 30 recommendations to reduce client base and exposure. Policies such as a mandatory 10% deductible, reduction of persoanl liabiltiy coverages, mandatory deductibles on sinkholes, and a reduction to the maximum coverage on coastal properties.
Many Buyer’s are forced to use Citizens in the Tampa Real Estate market because no other companies are issuing polcies for single family homes in certain zip codes.