Last week, Sean Shaw wrote about the public meeting Citizens held to discuss the issue of lessening its exposure. Unfortunately, many speakers – most of which were representatives of private insurance companies – opined that there is only one solution: raising premiums. While the decision has not yet been made, it seems clear that Citizens will do everything it can to raise rates, especially in the riskier areas of the state.
This is particularly bad news for those who live in areas where no private carrier will insure them. Compounding the problem is that rate increases from Citizens will not only directly affect many pocketbooks, but likely will worsen the already troubled housing market. Those looking to buy houses in certain areas of Florida may not be able to find affordable insurance prohibiting them from obtaining mortgage.
The following links will take you to articles that delve into this issue:
Insurers, agents see rates as key to shrinking Citizens; others wary
