Archive for the ‘Citizens Property Insurance Corp’ Category

Citizens Insurance Customers Outraged When Moved to Low Rated Florida Homeowners Insurance Companies

November 9, 2008

A series of recent articles run by the St. Petersburg Times have highlighted concerns raised by customers of Citizens Insurance about offers they have received to move their Florida homeowners insurance policies from Citizens to private Florida homeowners insurance companies with very low ratings.

Legislation passed in 2007 and 2008 encouraged the growth of Citizens Property Insurance by allowing the state insurer of last resort to charge artificially low Florida home insurance rates to compete with the private sector.

Despite these new lower prices, Citizens is continuously giving birth to new start-up take out companies that offer Florida homeowners a chance to get out of Citizens and move their coverage to a private Florida home insurance company.  The Florida homeowner receives an offer to have their policy removed from Citizens Insurance and into the private market at a favorable price.

When the process for using take out Florida home insurance companies to reduce the size of Citizens Insurance is successful, it offers many benefits including:

  • Moving the hurricane risk to the private market which relieves Citizens Insurance and ultimately Florida taxpayers and policyholders of this burden.
  • The policyholder usually ends up with a private Florida homeowners insurance company that has a much smaller policy base than Citizens insurance which may result in better claims service after the next Florida hurricane.
  • New Florida home insurance companies get an immediate customer base and seed capital so that hopefully they can grow into a much larger Florida home insurance company with strong financial ability to pay claims.

Based on the most recent news coverage, the process for moving Florida home insurance policies from Citizens Insurance to the Florida Take Out Insurance Companies is not going as smoothly as planned:

The most recent article written by Ivan Penn of the St. Petersburg Times on 11/7/08: “Consumers cry foul over Citizens’ shift to low-rated firms” highlights the following concerns:

Many Floridians are concerned about the financial ratings of these Florida takeout home insurance companies.

Some Florida homeowners don’t like the fact that they are automatically transferred to these companies unless they opt out of the process.  Some consumers are angry because they feel the take out letters look like junk mail – not a major change of Florida homeowners insurance companies.

But the number one concern raised by Citizen Insurance Customers is the poor financial ratings that many of these Florida homeowners insurance take out companies have received from various rating services.  Many of the major services that rate Florida home insurance companies are concerned about the financial stability of these take out companies.  But beyond that, many rating services are pointing out that these Citizen Take Out Companies are so new that their procedures for processing claims have not been tested in the aftermath of a Florida hurricane.

If you are currently a customer of Citizens Insurance, here are some things you should do to protect yourself:

First, get the truth about Citizens Insurance.  If you can find an acceptable Florida home insurance company, you might be pleasantly surprised after the next Florida hurricane.

Second, use several of the financial rating services to get all of the ratings currently being assigned to the Florida Take Out Homeowners Insurance Company you are considering.

Third and most important – if you are looking to get out of Citizens Insurance, you are not limited to just the Florida Take Out Home Insurance company that is sending you the take out offer.  Do some research and find other Florida insurance companies interested in getting your business.  There is a lot more competition out there than you think and you might be able to find homeowners insurance in Florida that costs less than Citizens Insurance and is with a more stable Florida home insurance company than the take out company being presented to you.

There are a lot more options out there for finding affordable Florida homeowners insurance than you think!

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Thousands Still Waiting For Citizens Insurance Florida to Pay

September 21, 2008

On September 19, 2008 Julie Patel of the South Florida Sun Sentinel wrote an article entitled:  Thousands Still Waiting for Citizens Insurance to pay.

The article covers the painfully slow payment process that some Citizens Insurance Florida Policyholders have had to endure while they still wait for Citizens Property Insurance Corporation Florida to pay their claims from the 2004-2005 Florida hurricane seasons.

There is really nothing new in this article about Citizens Property Insurance Corp Florida that we didn’t already know.  It is a known fact that Citizens Property Insurance Florida is a government bureaucracy that never will be able to achieve the claims paying satisfaction that a private Florida home insurance company will be able to attain.

Here are some great articles about Citizens Insurance Florida:

Find Private Florida Homeowners Insurance – Avoid Citizens Insurance Florida

 

Avoid this accident waiting to happen at Citizens Property Insurance Corporation Florida

The Truth About Citizens Property Insurance Corp Florida

Poor Customer Service Despite Low Citizens Property Insurance Rates Florida

What You Need to Know About Citizens Property Insurance Florida

Citizens Homeowners Insurance Florida

Citizens Insurance Florida

Citizens Property Insurance Co

Citizens Property Insurance Co

Citizens Property Insurance Company

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Citizens Property Insurance Florida

Citizens Property Insurance Rates