Citizens get screwed by Citizens Insurance Company and elected officials

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The Florida Banking and Insurance Committee, on a 6/4 vote, passed SB 1714.

GENERAL BILL by Hays

Citizens Property Insurance Corporation; Provides that certain residential structures are not eligible for coverage by the corporation after a certain date. Requires policies issued by the corporation to include a provision that prohibits policyholders from engaging the services of a public adjuster. Prohibits the corporation from levying certain assessments with respect to a year's deficit until the corporation has first levied a specified surcharge. Requires owners of properties in Special Flood Hazard Areas to maintain a separate flood insurance policy after a certain date, etc.

• What this means is windstorm coverage will be able to rise at a rate of 25% a year.

• Prohibits Citizens from LOWERING premiums. Have you ever heard of such a thing?

• Prohibits Citizens from insuring ANY new coastal construction after June 1. (Est of I-95).

• Require homeowners to purchase windstorm coverage from another company beginning in 2015.

• Prohibits Citizens from insuring homes worth more than $1 million effective January 2012; prohibit coverage of homes worth more than $750,000 in 2014; prohibit of homes worth more than $500,000 in year 2016.

• Assess customers at 1.5 times the rate of private insurance customers to help pay off Citizen's claims.
  

Originally, my condo building was with State Farm and after 40 years they dropped our coverage...They said that they could not afford to take the risk. After zero claims, I guess we were rated a loser. We were forced into Citizens as NO OTHER COMPANY WOULD INSURE us. We were not alone and we were not protected by our elected officials or the Insurance Commissioner. Now with this latest proposal coming out of Tallahassee, will we be forced to be self-insured altogether? We just had a sewer pipe break and our expensive insurance policy did not cover any of the damage.

The insurance industry needs to be regulated and homeowners in Florida need to be protected from these ridiculous exorbitant premiums and where policies, in the end, cover nothing.

Governor Scott looks to curb Citizens.