More Homeowners Dropped by Citizens Insurance: Is North Miami Beach Next?

North Miami Beach homeowners, particularly in coastal neighborhoods like Eastern Shores, are facing increasing uncertainty regarding their property insurance as Florida’s largest insurer, Citizens Property Insurance Corporation, announced it will shed more policies starting next week. This move is part of an ongoing "depopulation program" aimed at reducing Citizens' rolls, which have swelled to over a million policies statewide.

Many North Miami Beach residents, like others across Florida, rely on Citizens not by choice, but because they are unable to secure coverage from private providers or have been priced out of the private market. Eligibility for Citizens is typically a last resort, available only if the next cheapest comparable private plan is 20% or more expensive.

The state Office of Insurance Regulation has approved several private companies to assume Citizens policies, including Slide Insurance Co., Florida Peninsula Insurance Co., Edison Insurance Co., Southern Oak Insurance Co., American Traditions Insurance Co., and People’s Trust Insurance Co. Homeowners receiving depopulation notices are those Citizens has determined may no longer meet their eligibility criteria.

The future solvency of Citizens has also been a topic of concern. Governor Ron DeSantis stated earlier this year on CNBC that Citizens is "not solvent," raising questions about its ability to handle claims in the event of a major storm. Since last September, Citizens has shed nearly 300,000 policies through its depopulation efforts.

Further legislative action is also underway in the Florida Legislature, with new bills working through the process that could further limit eligibility for Citizens, specifically targeting second homes. This could impact some property owners in North Miami Beach who own investment properties or vacation homes along the shores of Biscayne Bay.

For North Miami Beach residents who may be affected by these changes or are dealing with property damage claims, resources are available. The Consumer Law Office (CLO) specializes in resolving property damage claims and disputes, offering free comprehensive assessments for issues ranging from tropical storms and hurricanes to hail, roof, pipe burst, water, mold, smoke-fire damage, lightning, theft, vandalism, or construction defects. They can be reached at 305-940-0924 or visited at consumerlawoffice.com.