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The House Insurance Committee unanimously passed HB 1001 Relating to Commercial Property Insurance by Representative Garrett Richter (R-Naples). The bill authorizes a new commercial property insurance policy of which premiums will not be subject to assessments to fund any future Citizens deficits. The policy must include coverage for all hazards, including hurricanes, and will not be subject to the state’s rate regulation. Thus, the bill provides a commercial purchaser with the option of buying a non-assessable policy at a potentially higher cost, which is the trade off.
While AIF supports eliminating commercial policies from Citizens assessments, we are concerned that an optional approach will shift assessments to commercial policy holders who do not choose the non-assessable option and homeowners.
HB 1001 will now be considered by the House Jobs & Entrepreneurship Council.
AIF supports measures which would return Citizens Property Insurance Corporation to an insurer of last resort, and; therefore, help encourage the growth and sustainability of the private insurance market.
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