Tag: private insurers

Citizens Insurance in Florida: A Balancing Act for Solvency

Marc
citizens insurance and florida home insurance balance

The Challenge of Solvency for Citizens Insurance Florida’s Citizens Insurance is at a critical juncture. Initially created as the state-backed insurer of last resort, Citizens has evolved into Florida’s largest insurer, currently holding over 1.2 million policies. This is far from its intended goal of 400,000 to 500,000 policies, and the company now faces significant challenges in maintaining financial solvency, particularly with the looming threat of hurricanes. Citizens’ Policy Shortfall: Aiming for 400,000, Holding Over 1.2 Million Citizens Insurance was designed to provide coverage when private insurers could not, yet…

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Florida Homeowners Insurance Market Sees Promising Shift with Depopulation Program

Angela Linders
florida insurance homeowers

The landscape of Florida’s homeowners insurance industry is undergoing significant changes as private insurers have absorbed 275,324 policies from the state-run Citizens Property Insurance Corp so far in 2023. These changes, spotlighted during the recent Citizens Board of Governors meeting, demonstrate a strategic attempt to balance the market through a process called “depopulation.” What Depopulation Means for Consumers For consumers, the depopulation program has a direct impact on their insurance decisions. Here’s what it boils down to: if a private insurance company extends an offer that exceeds a policy owner’s…

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Private insurance companies to begin participating in Louisiana’s Citizens Property Insurance Corp

Marc

Private insurers are getting ready to start taking over Louisiana’s Citizens Property Insurance Corp. The state-run insurance agency has fared well in the past four years, experiencing periods of growth throughout 2007 and 2008. The state’s Department of Insurance is looking to “depopulate” the program, however, in an attempt to lower insurance rates for the majority of policyholders. To this end, regulators are inviting private insurance companies to begin selling policies through Citizens. Regulators believe that these policies will bring higher quality service to consumers. Part of the success behind…

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