Florida Office of Insurance Regulation Establishes Rates for Citizens Mobile Home Filings; Orders Citizens Mobile Home Business Study
Oct 8, 2012
Following a 45-day deliberative review process that included a September 20, 2012 public hearing, the Florida Office of Insurance Regulation (“OIR”) issued an Order today, October 8, 2012, establishing mobile home rates for Citizens Property Insurance Corporation (“Citizens”). To view a Colodny Fass report on the September 20 hearing, click here.
In the Order, the OIR requires Citizens to conduct a study of its mobile home business, including the following factors: age of home, actual cash value of home, estimated replacement cost of home, policy value and the amount of premium paid for these policies. A review of these factors must be completed prior to a subsequent rate filing.
On October 1, the OIR approved rate increases for Citizens homeowners’ and dwelling fire policies. The OIR is expected to issue a decision on Citizens’ commercial lines filings on October 19.
An OIR news release detailing today’s announcement is reprinted below. (Please note: At the time of publication, the hyperlink to the Order was not functional. A copy of the Order will be distributed when it becomes available).
Documents detailing the mobile home rate levels are here, here and here.
Should you have any questions or comments, please contact Colodny Fass.
Office Announces Rate Decision for Citizens Property Insurance Corporation’s Mobile Home Filings
Monday, October 8, 2012
TALLAHASSEE, Fla. – The Florida Office of Insurance Regulation (Office) today issued an Order establishing mobile home rates for Citizens Property Insurance Corporation (Citizens). The effective dates for new rates on both the mobile home multi-peril and physical damage (dwelling fire) policies are January 1, 2013 for new and renewal personal lines account policies, and February 1, 2013 for new and renewal coastal account policies.
The overall average statewide rate changes established by the Office are:
|
|
(Incl. FHCF Cash Buildup Factor Changes) |
||
|
Account |
Total Number of Policies |
Original Rate Requested |
Rate Established |
|
MOBILE HOMEOWNERS |
72,562 |
4.1% increase |
-1.2% decrease |
|
MOBILE HOME PHYSICAL DAMAGE (Dwelling Fire) |
98,466 |
3.7% increase |
2.6% increase |
|
TOTAL OVERALL STATEWIDE AVERAGES FOR ALL MOBILE HOME FILINGS: |
171,028 |
3.9% increase
|
0.3% increase |
In the Order, Citizens is mandated by the Office to conduct a study of its mobile home business, which will include the following factors: age of home, actual cash value of home, estimated replacement cost of home, policy value, and the amount of premium paid for these policies. A review of these factors would need to be completed prior to a subsequent filing.
The Office reached its decision following a 45-day deliberative review process that included a public hearing conducted on September 20, 2012 in Miami, Florida. This hearing allowed Citizens to present additional information, and featured feedback from the Office of the Insurance Consumer Advocate, legislative representatives, Citizens’ policyholders, and the public.
A decision on Citizens homeowners’ and dwelling fire rate filings was issued on October 1, 2012. Click here to view the press release. Tentatively, the Office expects to render a decision for the following commercial lines filings on October 19, 2012:
Commercial Lines Account (#12-14702, #12-14703, #12-14707)
Commercial Lines – wind only (#12-15425, #12-15426, and #12-15611)
Any of the filings submitted to the Office by Citizens can be accessed via the I-file database using the following search criteria: enter the file log number or “Citizens” in the company name field. When the selection appears, scroll to the bottom of the results page for the most recent filing information.
For more information about the Citizens public rate hearing and filings, visit the Citizens Property Insurance Rate Filing page on the Office’s website.