Citizens Insurance may double home insurance rates for part-time Florida residents

If you’re a part-time resident in Florida, you may have to pay twice as much for home insurance from Citizens Insurance. This news comes after years of criticism that the state’s largest home insurer has been undercharging their part-time customers.

The proposed rate hike aims to raise premiums for part-time Floridians to match those of full-time residents, who currently pay higher premiums due to their increased exposure to hurricanes and other natural disasters. Citizens Insurance has stated that an increase in rates is necessary to maintain its financial stability and ensure that it can cover claims in the event of a major disaster.

While the proposed rate hike may seem unfair to part-time residents, it’s important to consider that Florida is one of the most hurricane-prone states in the US. Citizens Insurance has been criticized in the past for charging part-time residents too little, which could have led to a financial crisis if a major hurricane were to hit.

If the proposal is approved, it will be effective from August 2021 and would affect thousands of part-time residents who call Florida their winter home. Citizens Insurance emphasizes that the changes are necessary to maintain its ability to cover losses in the event of a natural disaster.

The proposed rate hike is a reminder that living in areas prone to natural disasters often results in higher insurance premiums. While it may seem unfair to some residents, it’s important to understand the financial implications of covering losses in a state with frequent natural disasters.

In conclusion, if you’re a part-time resident in Florida, be prepared to pay double for your home insurance from Citizens Insurance. This rate hike may seem unfair, but it’s important to remember that living in Florida comes with a higher risk of natural disasters, which means higher insurance costs.