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Citizens letters would give policy takeout information

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State-backed Citizens Property Insurance intends to write letters that state lawmakers want consumers to receive when policies are up for "takeout" by private insurers.

The plan, which must still be approved Wednesday by the Citizens Board of Governors and by the state Office of Insurance Regulation, is part of a number of changes Citizens intends after several years of moving customers into the private market.

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Adam Marmelstein, Citizens director of market services, told members of the board's Depopulation Committee on Tuesday that the changes are intended to "improve our customers' experience."

The letters are part of legislation that requires policyholders to be informed of price and coverage differences between proposals from private insurers and what Citizens offers.

Citizens officials noted the legislation didn't specify who would provide the letters.

The so-called "takeout" process of shifting customers to the private market has been a large part of Citizens' efforts to shed nearly 1 million policies in the past three years. However, with 491,695 policies in place as of Aug. 31, the agency has seen a slowdown in its depopulation efforts.


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