An Indianapolis agency is trying to solve one of Florida'sinsurance problems – the large deductible required in homeowners'and commercial property coverages. CITON Agency's ZERO SELECT WindDeductible Elimination Plan will pay 100 percent of the totalhomeowners' or commercial policy's deductible if damage estimatesfrom a named storm or event exceed the deductible dollar amount.Kenneth Gregg, CEO and chairman of the Indiana-based company, saidhe spent two years designing and developing the hurricane/winddeductible elimination product.

“Our intent is to cover any wind or hurricane deductibles outthere,” Gregg said. “As long as they have primary coverage inplace, we will write it.” Even as a storm is rushing toward thestate. “We'll write it 'within the box,'” Gregg reported. “But ifit makes landfall within seven days, it's not covered. On dayeight, it is covered.”

The stand-alone policy is available throughout Florida, with theexception of Monroe County. Premiums are based on standard criteriasuch as ZIP code, residential or commercial, construction type,year built within certain year spans, deductible amount, andrelationship to total insured value of property.

Gregg said a quote takes two minutes, and indeed, he producedtwo quotes in less time than that during a phone interview. His twosample quotes:

1) Commercial: a high-rise office building in downtown Sarasota,built in 2002, insured for $5 million, with a $150,000 deductible.ZERO SELECT's annual premium cost is $6,750.

2) Residential Homeowners': a newer masonry home, insured valueof $500,000, with a two percent deductible of $10,000. ZEROSELECT's annual premium cost is $450.

The policy pays to the policyholder, who in turn wouldtheoretically use the funds to pay-off the deductible to thecarrier. Gregg said that processing a claim requires only one phonecall and one fax. “As soon as the primary carrier issues a check inexcess of the deductible, we process our check within 48 hours,” hesaid.

The coverage is currently available only in Florida, but Greggsaid he plans on rolling out the product in Texas, Mississippi, andVirginia as well. CITON has developed relationships with severalMGAs in the Florida area and will expand those relationships toother markets throughout the summer. Agents can access the productthrough one of the MGAs or directly at www.citoninsurance.com.