Florida’s Citizens Property Insurance Expects 1.7M Policies by Year’s End

According to Citizens Property Insurance Corporation, the state’s insurer of last resort, it is projected to hit a record 1.7 million home insurance policies by the end of the year. The surge in policyholders seeking coverage from Citizens is a result of other insurers exiting the state, going bankrupt, or issuing non-renewal notices to thousands of customers.

Recent announcements from major insurers like Farmers Insurance and AAA stating their restrictions on policy carrying and non-renewal notices have left homeowners with no option but to turn to Citizens to secure any form of coverage. As a consequence, Citizens is projected to take on an additional 400,000 home insurance policies before the close of 2023.

This growing trend has raised concerns among policyholders, insurance agents, and politicians about the increasing burden on Citizens to accommodate the rising number of policies.

The current 1.3 million policies already make this the highest end-of-month total for Citizens in the past decade, showcasing the unprecedented demand on the insurer of last resort. However, there is a glimmer of hope as several new insurers express interest in entering the Florida market, signaling potential relief for the state’s homeowners.

In addition, State Farm, a prominent insurer, has announced its commitment to maintain its presence in Florida’s homeowners’ insurance, instilling some confidence in the state’s ongoing efforts to reform the insurance market.