Citizens ordered to trim proposed rate hikes for home insurance policies [View all]

The state-backed insurer asked regulators to OK a proposal that included increasing rates by 12% for homeowners with the most common type of policies.

Regulators have ordered the state-backed Citizens Property Insurance Corp. to revamp — and trim — proposed rate increases.

Florida Insurance Commissioner Michael Yaworsky signed an order Friday that took issue with parts of a Citizens rate proposal that included increasing rates by 12% for homeowners with the most common type of policies.

The order, posted on the state Office of Insurance Regulation website, directed Citizens to “calculate new, reduced, overall average statewide rate increases for the rate filings” covered by the order.

“We are reviewing the final order and will submit a revised set of recommendations, as requested, based upon OIR’s findings and directives,” Michael Peltier, a Citizens spokesman, said in an email Monday.

Amid explosive growth in its number of policies, Citizens this year asked the Office of Insurance Regulation for approval of an overall 13.3% rate increase, with 12% hikes for “multi-peril” policies on primary residences.

A 12% increase would be the maximum allowed this year for those policies under a state law that limits how much Citizens can raise premiums.

https://www.tampabay.com/news/florida/2023/08/21/citizens-insurance-proposed-rate-increase-home-policy/