Florida property owners will stop paying a 1 percent emergency assessment on their insurance bills two years earlier than planned under a recommendation approved Wednesday by the board of Citizens Property Insurance.
For the average homeowner, that translates into a total savings of about $40 over two years.
Citizens was allowed to tack the assessment on to Florida property policies after eight storms during the 2004-05 hurricane seasons left the state-run insurer with a deficit of more than $1.7 billion. The assessments, used to pay off a bond, were supposed to last 10 years.
The emergency assessment began at 1.4 percent in 2007 and was reduced to 1 percent in 2011 because of an increase in the number of insured policies. Continued growth has helped Citizens recoup funds even more quickly than anticipated.
Citizens chief financial officer Jennifer Montero told board members at their monthly meeting in Orlando that the company now expects to have enough money by June 2015 to satisfy the bond's balance. The assessments originally were scheduled to be collected through June 2017. Story here.