Citizens - Depopulation Program/Take-Out
The Florida Legislature created a Depopulation Program to reduce the number of properties insured and serviced through Citizens Property Insurance Corp (the State run insurance company). This program allows insurance companies approved and in good standing to review Citizens policies and provide offers of coverage. You may hear the term "Take-Out insurance carrier" used when referring to these insurance companies "taking" policies out of Citizens.
It's possible you received a letter from either Citizens or the insurance company interested in assuming your policy (or you may have received letters from both). So what should you do?
Well, you have a choice. You can accept the offer from the Take Out company. Or you may decide to decline the offer and keep the policy with Citizens.
Citizens is providing key points of "encouragement" to be considered when a policyholder is determining if they will move to the Take Out company or decline the offer and remain with Citizens. Here are some of the key points offered-up by Citizens to consider:
- The policyholder is no longer subject to Citizens policyholder surcharges of up to 45% of the premium.
- The Take Out offer will likely provide more comprehensive property insurance coverage.
- The policyholder will remain with the same agent.
- No further action is required by the policyholder to switch companies (action is only required if you Decline the offer and wish to remain with Citizens).
In any case, you should review the details of the Take Out company that wishes to assume your policy. You should research their financials and the coverage differences between them and Citizens.
Or... one more choice: work with an agent that can help you navigate this process and maybe even offer you additional quotes with other insurance companies.
At Harbor Insurance, we will help not just our current Valued Customers navigate this decision process. But we invite Home Owners that are not yet our customer to use the tools provided on this Resource page. We further invite our current customers, neighbors, friends, and future customers to contact our Professional Licensed Agent staff. We are here to be your Trusted Advisor!
Look below. Do you see the name of the Insurance Company that is offering to assume your Homeowners Insurance policy?
You can learn more about their Financial Strength and see how their coverages stack-up against Citizens.