TALLAHASSEE, Fla.– (RealEstateRama) — Florida Chief Financial Officer (CFO) Jimmy Patronis released the following statement regarding the vote by the Citizens Property Insurance Corporation Board of Governors to increase rates by an average of 8.3 percent statewide. CFO Patronis has two appointees on the Board and appoints the Chair.
“It’s concerning that Citizens was unable to find solutions to address nonweather water losses and increased litigation as requested of them in June. These two factors are the major cost drivers increasing insurance rates in our state across the entire industry. Out of the lawsuits Citizens is involved in, 36 percent are related to assignment of benefits. Abuse of assignment of benefits has become a deceptive practice, aimed to lure consumers into a false sense of security.