Florida Senator Proposes Raising Citizens Property Insurance Cap
Florida Senator Ana Maria Rodriguez, representing Miami-Dade and Monroe counties, has put forward a proposal that could broaden eligibility for coverage from the state’s Citizens Property Insurance Corp. The legislation, filed on Monday, aims to address the rising home values and challenges homeowners face in securing insurance.
Currently, Citizens is restricted from issuing policies for homes with a dwelling replacement cost of $700,000 or more, except within Miami-Dade and Monroe counties, where the cap is $1 million. Rodriguez’s bill seeks to raise this limit to $1.5 million for these two counties, which have historically faced unique challenges in securing insurance coverage.
This isn’t the first time lawmakers have considered such a move. The existing $1 million cap in Miami-Dade and Monroe counties was established because state regulators determined there wasn’t a sufficient level of competition among insurance providers. The proposed change mirrors ongoing state efforts to manage the size of Citizens, which has expanded significantly in recent years to become Florida’s largest insurer.
It’s important to note that dwelling replacement costs, which represent the financial requirement to rebuild a home, can differ from market values, because they don’t include the value of the land.
