Gov. Rick Scott signed a bill requiring state-run Citizens Property Insurance Corp. to provide more information to customers targeted for “takeout” by private companies. Scott vetoed a similar bill last year.
The new measure requires Citizens to provide estimates of comparable coverage in the private market and rates available with Citizens to customers whose policies are selected for transfer to private companies.
Citizens has shed about 1 million policies over the past three years as part of a state effort to reduce the insurer of last resort’s risk exposure. But many customers have complained about steep rate increases in the second and subsequent years with their new insurers.
State law prevents Citizens from increasing rates by more than 10 percent a year. Private insurers are under no such restraint.