Property Insurance sends out its monthly customer bills, only 31 percent of
them go to the same house that is insured.
The rest go to
other mailboxes in Florida
— and around the globe, according to data analyzed by the American Consumer
Institute of Citizen Research.
19,000 bills go to people who live in Canada,
nearly 27,000 go to New Yorkers, almost 12,000 go to folks in New
Jersey and hundreds more go to England,
Germany and France.
From Singapore and China,
to South Africa and Luxembourg, Florida’s
state-run insurance company is providing subsidized insurance coverage to
22,775 property owners who reside abroad. Another 176,465 policies go to
homeowners with primary addresses in other states, the study found. Story here.
At least 1
million of the nearly 1.3 million monthly bills for homeowners policies stay in
that includes an estimated 500,000 policies that go to addresses different from
the property that is insured.
As Florida grapples with
how to lower the cost of homeowners insurance along its hurricane alley, the
out-of-state subsidies are a luxury it cannot afford, said Steve Pociask,
president of the Washington, D.C.-based think tank that reviewed Citizens’
“It all comes
down to affordability,’’ he said. “People who live here and have their primary
homes insured here are teachers, police, service workers and they are being
stung by higher prices. while 27,000 people who have their bills sent to New York are getting
subsidized insurance. Why do we want to subsidize these folks?’’
are enough to prompt Sen. David Simmons, the chairman of the Senate Banking and
Insurance Committee to draft legislation to require that out-of-state
policyholders whose second homes or vacation are insured by Citizens no longer
receive subsidized rates.