Citizens Insurance Depopulation Update - Watch Out For Assumption Notice and Opt Out Form

As reported before on HIH the Citizens Depopulation effort is in full swing. Examples of what to watch out for in the mail are included.  You only have 30 days from the Assumption Notice date to OPT OUT so there's no time to waste once you receive the letter.  You must contact your insurance agent if an OPT OUT form is not included with the Assumption Notice.  Coincidentally we did not receive one.  It's not by chance but by design so you have to be proactive to assert your desires to through your insurance agent.

This shameless trickery by the Florida Legislature in cahoots with Governor Rick Scott is an attempt to turn Citizens Insurance into a less viable alternative for the citizens of Florida.  They seem to think we have forgotten what happened 21 years ago when Hurricane Andrew left Homestead in shambles almost erasing it off the map.  Private insurers at the time were going out of business in droves dropping policies on the doorsteps of the State Government because they could not sustain the losses of a major hurricane.

This is how Citizens Insurance came about once all the private insurers pulled out.  Private insurers are only back to take our money because the Governor and State Legislature have sweeten the deal by providing Citizen Insurance profits as seed money for their fly-by-night insurance start-ups. Experience has shown us that these companies will go belly up once a major hurricane hits South Florida.  They are unsustainable enterprises and are only in business first to take our hard earned money and second because of the mistaken philosophical belief that free market forces are  viable in the windstorm insurance industry.

Fact is folks, windstorm insurance is just like flood insurance, which is run by the National Flood Insurance Program (NFIP) because no private insurance company will touch it.  Simply put the losses incurred during floods outstrip the premiums collected that would be viable in the marketplace.  If private insurance companies were issuing policies for flood, the rates would be so high most of coastal Florida would be depopulated since no one would be able to afford the premiums.  Never mind that no bank would finance real estate ventures without flood insurance.  Windstorm is no different and a national program should exist but political ideology currently trumps logical reasoning in the US Congress and the financial welfare of citizens is an afterthought.

Florida was a pioneer in creating a State run windstorm insurance company while Louisiana did the same after Hurricane Katrina.  Citizens Insurance company makes a profit, it's sustainable,  and it's our only saving grace if a major storm head our way.  You can do something about stopping the dismantling of Citizens by Opting Out and staying with Citizens Insurance.  Examples of the letters received by a Homestead family are provided to you for your awareness. Be on the look out; they are coming your way!



Reference Link
http://homesteadishome.blogspot.com/2013/05/citizen-windstorm-insurance.html