Florida's legislative changes to Citizens Property Insurance Corp.–its homeowners market of last resort–has left the residual carrier writing “actuarially unsound” policies, the state's chief financial officer told industry officials here.
Florida CFO Adelaide “Alex” Sink, while speaking at the annual conference of the National Council on Compensation Insurance, also voiced criticism of the industry for what she said was a failure to express sympathy for the plight of homeowners faced with steep rate increases.
The additional changes approved by lawmakers earlier this month to Citizens include freezing rates for two years, while expanding coverage by lowering the rate threshold the company charges from 25 percent to 15 percent above what private carriers levy.
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