Itasca Re’s former chairman, Stephen Weinstein, has introduced a new Florida-based insurance carrier, Mangrove Property Insurance. The company plans to take over thousands of policies from Citizens Property Insurance Corp.
According to the Florida Office of Insurance Regulation (OIR), Mangrove will be the tenth new insurer to enter the state’s market since the 2022-2023 legislative changes. These reforms focused on reducing claims litigation and stabilizing the market, which had previously been in distress.
“Smart legislative and regulatory reforms have stabilized Florida’s marketplace, giving us confidence to enter the market with new capital and capacity to help homeowners meet their property insurance needs,” Weinstein, who is also Mangrove’s CEO, stated on Monday. “Just as mangroves protect Florida’s coastlines from erosion and storm surge, Mangrove Property Insurance Company is committed to being a permanent solution Floridians can turn to in protecting their property.”
The OIR approved the firm’s certificate of authority in mid-January. Mangrove intends to assume approximately 81,000 multiperil policies from Citizens by April 15. It remains to be seen how many policyholders will accept the transfer. The OIR’s data reveals that roughly 10% of such offers were accepted in 2024.
Regulators raised a minor concern with Mangrove’s takeout application. It clashed with a 2022 Florida law requiring comparable coverage in takeout offers, which cannot be achieved through optional endorsements. The consent order specifies that “the premium calculation used to determine the 20% eligibility threshold … must be calculated using offers of coverage without the need to offer additional terms or endorsements.” Mangrove officers have agreed to comply with this requirement.
In addition, Mangrove has applied for a financial strength rating from Demotech, a rating firm acceptable to Fannie Mae and Freddie Mac’s secondary mortgage buyers. The consent order mandates this rating by February 25 or earlier.
Weinstein is a well-known figure in the insurance industry. Previously, he served as chairman of Itasca Re Ltd., a Bermuda-based reinsurance company, as chief legal officer of Renaissance Re Holdings, and on the board of the R Street Institute.
Allan Franklin, a certified public accountant and fraud examiner, will serve as chief financial officer for Mangrove. The company announced its intention to provide coverage through independent agents across all 67 Florida counties.
