After signing off last week on proposals that would allow private insurers to take as many as 220,035 policies from Citizens Property Insurance Corp., Florida regulators have approved up to 15,000 additional policies leaving the state’s insurer of last resort.
The Office of Insurance Regulation on Wednesday issued an order that will allow Orange Insurance Exchange to assume up to 15,000 Citizens policies in November. The approval is part of a “depopulation” program designed to shift policies from Citizens into the private market.
Citizens became Florida’s largest insurer in recent years amid financial problems in the private market and had about 1.25 million policies as of last week. State leaders have sought to hold down the number of policies in Citizens, at least in part because of financial risks if hurricanes hit the state.
Insurers approved last week to take out policies in November were American Integrity Insurance Co. of Florida, which was approved to assume a maximum of 75,000 policies; Manatee Insurance Exchange, with a maximum of 39,000; Homeowners Choice Property & Casualty Insurance Co., with a maximum of 25,000; Monarch National Insurance Co., with a maximum of 25,000; TypTap Insurance Co., with a maximum of 25,000; Trident Reciprocal Exchange, with a maximum of 16,035; and Slide Insurance Co., with a maximum of 15,000.
The actual number of policies assumed likely will be lower than the maximum amounts. Regulators also have approved private insurers assuming up to 413,808 policies in late October.