Citizens eyes rate double-digit hikes for Florida customers
TALLAHASSEE — With the state-backed Citizens Property Insurance Corp. continuing to see massive growth, regulators Thursday took up a proposal that would lead to double-digit rate increases for Citizens customers across Florida.
The proposed increases would vary based on factors such as types of policies. But Brian Donovan, the chief actuary for Citizens, said during a hearing held by the Florida Office of Insurance Regulation that Citizens is recommending 12 percent increases for all homes that are primary residences and have what are known as multi-peril policies — the most-common type of coverage.
Increases could be dramatically higher for homes that are not primary residences. A new state law allows increases up to 50 percent for those properties.
“We take asking for a rate increase very seriously,” Citizens President and CEO Tim Cerio said during the hearing. “(For) homeowners’ insurance consumers, it’s a very difficult time right now.”
The Office of Insurance Regulation held a 2 ½-hour hearing on the proposal, with the office’s actuaries asking numerous detailed questions. Regulators typically take weeks to decide whether to approve such proposals.