Citizens Insurance comes under fire once again in Florida

insurance news

insurance news

Building inspector reveals details about Citizens Insurance

Florida’s Citizens Insurance continues to found itself steeped in controversy as some of its practices become exposed by an anonymous building inspector. The inspector, whom liaised with Florida’s The Palm Beach Post, claims to have worked with Citizens Insurance on several occasions during the state-run company’s massive building reinspection campaign. Citizens Insurance launched the campaign to re-evaluate the value of the homeowner’s insurance policies it has written in the state. According to the inspector, the insurance company has taken steps to ensure that policies become more costly for consumers.

Allegations suggest insurer manipulated inspectors to justify rate increases

Allegedly, the anonymous inspector has performed dozens of inspections during 2012. Approximately half of his reports were rejected by his supervisors, however, because they did not meet the needs of Citizens Insurance. The inspector claims that these needs represent the company’s desire to raise rates on its homeowner’s insurance policies. The inspector recently resigned from his position because he believed the practices conducted by Citizens Insurance to be “unethical.” He provided his badge and other records concerning his identity to The Palm Beach Post.

Citizens Insurance denies foul play while confronting lawsuits

Citizens Insurance denies any allegations of foul play. The company is currently faced with a lawsuit from consumers in Palm Beach and Broward counties concerning a supposed subterfuge campaign to raise homeowner’s insurance rates. The lawsuit alleges that the insurance company withheld payment to inspectors until they made changes to their reports that met with the company’s plans to raise rates.

Insurer continues to look for ways to manage its problems

Citizens Insurance has been pressured to raise rates on coverage for some time in order to account with the massive financial losses and debt that have crippled the program as a whole. The company has been working to make the changes necessary for its longevity, such as its recent depopulation campaign, but some of these measures have been met with backlash from consumers who claim they are being taken advantage of.

Related posts

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.