Citizens Insurance is a Florida-based state-run carrier insuring residential and business properties all over the state. They used to be considered the insurer of last resort in Florida but have taken on more home policies than ever in the recent past so this news will be very impactful to many.
A new bill recently took effect that outlines some important changes regarding the requirement of flood insurance on Citizens home insurance policies. It states that Citizens personal lines residential policyholders must secure and maintain flood insurance that meets certain guidelines in order to be eligible for Citizens coverage at all.
The bill provides the following timetable for which flood insurance coverage must be implemented for personal lines residential Citizens policyholders:
- For risks located in areas designated by the Federal Emergency Management Agency as special flood hazard areas, flood insurance must be secured for new Citizens policies with an effective date on or after April 1, 2023, and at renewal for Citizens policies that renew on or after July 1, 2023.
- For all other risks, regardless of flood zone, the requirement to obtain flood insurance at policy issuance or renewal is effective:
- March 1, 2024: policies insuring property for $600,000 or more
- March 1, 2025: policies insuring property for $500,000 or more
- March 1, 2026: policies insuring property for $400,000 or more
- March 1, 2027: all other policies
This comes as a big change for Citizens policy holders that may not currently have flood insurance. For additional information or resources on flood insurance, please reach out to us anytime.