Citizens Insurance buying back $300 million in catastrophic coverage

357hurricane-matthew-florida

Citizens Property Insurance Corp. can buy back some $300 million in reinsurance against a catastrophic storm because the risk of that happening is now projected to have fallen.

The company’s board of governors voted unanimously to approve the move during a conference call Wednesday.

Citizens, Florida’s property insurer of last resort, bought the coverage from Everglades Re II Ltd. in 2015.

The company will repurchase catastrophic coverage at prices keyed to the new estimates of the threat, spokesman Michael Peltier said.

“It allows us to go into the market with more flexibility,” he said. “It no longer makes sense for us to insure against that exposure level.”

It isn’t clear yet how much Citizens could save.

“We won’t know until our 2017 buy,” Peltier said.

Michael Moline

Michael Moline is a former assistant managing editor of The National Law Journal and managing editor of the San Francisco Daily Journal. Previously, he reported on politics and the courts in Tallahassee for United Press International. He is a graduate of Florida State University, where he served as editor of the Florida Flambeau. His family’s roots in Jackson County date back many generations.


One comment

  • Krista

    March 21, 2017 at 11:18 pm

    Excellent story it is actually. My mother has been awaiting for this content.

Comments are closed.


#FlaPol

Florida Politics is a statewide, new media platform covering campaigns, elections, government, policy, and lobbying in Florida. This platform and all of its content are owned by Extensive Enterprises Media.

Publisher: Peter Schorsch @PeterSchorschFL

Contributors & reporters: Phil Ammann, Drew Dixon, Roseanne Dunkelberger, A.G. Gancarski, William March, Ryan Nicol, Jacob Ogles, Cole Pepper, Jesse Scheckner, Drew Wilson, and Mike Wright.

Email: [email protected]
Twitter: @PeterSchorschFL
Phone: (727) 642-3162
Address: 204 37th Avenue North #182
St. Petersburg, Florida 33704