Florida Approves 110,000 More Withdrawals from Citizens Property

Florida officials have approved up to 110,000 more policy removals by private insurers from the state-backed insurer Citizens Property Insurance Corp.

Florida Insurance Commissioner Kevin McCarty said six insurance companies are involved with this round of removals, which began Nov. 14.

Companies are approved by the office to remove a specified number of policies after demonstrating that they have the financial capacity to absorb the number of policies requested.

“We have heard a lot of concerns about Citizens growing too large,” said McCarty. “To address that issue, the office is working with these companies to help facilitate the reduction of policies in Citizens. I am pleased to see so many Citizens policies being moved into the private market.”

Citizens’ policyholders have the right to refuse a take-out offer, but many of the last 300,000 policyholders this year have agreed to be removed to the private sector. The removals scheduled to begin Nov. 14 could increase that number to over 400,000.

The following companies will participate in the Nov. 14 take-out:

American Integrity Insurance Co. of Florida:Approved to remove up to 75,000 policies total; 42,000 removed to date;will remove up to 15,000 more on Nov. 14.

Florida Peninsula Insurance Co.: Approved to remove up to 80,000 policies total;19,011 removed to date; will remove up to 25,000 now.

HomeWise Preferred Insurance Co.: Approved to remove up to 95,000 policies total;48,569 removed to date; will remove up to 17,000 on Nov. 14.

Southern Oak Insurance Co.: Approved to remove up to 75,000 policies total; 19,629 removed to date; will remove up to 20,000 on Nov. 14.

Northern Capital Insurance Co.: Approved to remove up to 20,000 policies total;10,821 removed to date; will remove up to 6,500 on Nov. 14.

Magnolia Insurance Co.: Approved to remove up to 120,000policies total; 91,548 removed to date; will remove up to 28,452 on Nov.14.

Source: Florida OIR
http://www.floir.com/TakeoutCompanies.aspx