The Florida Office of Insurance Regulation (OIR) has approved the removal of up to 127,266 personal residential policies and 3,268 commercial residential/non-residential polices from Citizens Property Insurance Corporation. The announcement represents the first take-out for 2016 and the following five companies have been approved to participate:
- Anchor Property & Casualty Insurance Co. – approved to remove up to 20,000 personal residential policies (16,030 Personal Lines Account and 3,970 Coastal Account)
- Heritage Property & Casualty Insurance Co. – approved to remove up to 55,000 personal residential policies (35,000 Personal Lines Account and 20,000 Coastal Account) and up to 1,500 commercial residential policies (1,300 Commercial Lines Account and 200 Coastal Account)
- Safepoint Insurance Co. – approved to remove up to 20,000 personal residential policies (12,000 Personal Lines Account and 8,000 Coastal Account)
- Southern Oak Insurance Co. – approved to remove up to 15,000 personal residential policies (10,000 Personal Lines Account and 5,000 Coastal Account)
- Weston Insurance Co. – approved to remove up to 17,266 personal residential policies (all Coastal Account), up to 719 commercial residential policies (Commercial Lines Account) and up to 1,049 commercial non-residential policies (Commercial Lines Account)
Citizen’s Personal Lines and Commercial Lines Accounts are primarily non-coastal properties and the Coastal Account is coastal properties. The take-out periods are January 19, 2016 for personal residential impacting both the Personal Lines/Coastal Account policies and January 12, 2016 for commercial residential/non-residential impacting both the Commercial Lines/Coastal Account policies. This is part of the state’s ongoing depopulation effort to reduce the number of policies in the state-created Citizens and transfer them to the private insurance market.
In 2015, the total number of potential policies approved for take-outs was 1,321,193 and the actual number of policies removed from Citizens as of September 23, 2015 was 172,351. Policyholders who receive a take-out offer may choose to remain covered by Citizens through the opt-out process.
- Florida Approves Removal of Up to 142,500 Policies from Citizens
- Citizens’ CEO Updates Board on Water Loss Issue, Depopulation Program
- Florida Establishes Citizens’ Commercial Lines Rates for 2016
- Florida Approves Removal of Up to 184,500 Policies from Citizens
- Up to 280,857 More Policies Approved for Removal From Citizens
- Citizens to Hold Off on 2016 Sinkhole Rate Increases, For Now
Was this article valuable?
Here are more articles you may enjoy.