My understanding is Citizen’s recent rate increase request had nothing to do with hurricane risk. It was necessitated by non-weather water damage claims and the Assignment of Benefits issues in Florida. Too bad the reporter didn’t research that better.
I think you misread the article. The authors said that Citizens raised rates to “reduce risk to taxpayers.” They didn’t say which peril(s) generated the risk. The Assignment of Benefits issues add to Citizens’ loss costs which are borne by FL’s taxpayers if the charged premiums do not generate a profit.
I hope they literally weather the storm financially, a lot of other Companies too. All the BS amounts to nothing if all of your reserves and every dollar is paid out in claims. What was Allstate’s pay-out, 3 billion for Andrew. Katy bar the door.
My understanding is Citizen’s recent rate increase request had nothing to do with hurricane risk. It was necessitated by non-weather water damage claims and the Assignment of Benefits issues in Florida. Too bad the reporter didn’t research that better.
No matter
I think you misread the article. The authors said that Citizens raised rates to “reduce risk to taxpayers.” They didn’t say which peril(s) generated the risk. The Assignment of Benefits issues add to Citizens’ loss costs which are borne by FL’s taxpayers if the charged premiums do not generate a profit.
I’ll be sure to drop by their booth at the trade show I am heading to next week in Myrtle Beach…weather permitting.
I hope they literally weather the storm financially, a lot of other Companies too. All the BS amounts to nothing if all of your reserves and every dollar is paid out in claims. What was Allstate’s pay-out, 3 billion for Andrew. Katy bar the door.