Florida’s Citizens Property Insurance Corp. saw a significant decrease in its policy count last week, dropping to 935,948 policies from 982,892 the week prior.
According to newly posted data on Citizens ' website, the decline stems from private insurers assuming policies as part of a “depopulation” program.
The depopulation program is central to efforts by state leaders to shrink the insurer, which has grown to become Florida’s largest property insurance provider due to instability in the private insurance market. Citizens was originally established as an insurer of last resort, but its policy numbers have fluctuated over the years, largely based on private-market conditions.
The push to reduce Citizens’ policy count is also motivated by the financial risks the state could face if a major hurricane—or multiple hurricanes—were to hit. Additional rounds of depopulation are scheduled for February and March, which could further reduce Citizens’ policy count.
This development marks a step toward stabilizing Florida’s insurance market, though challenges remain as private insurers continue to navigate financial issues in the hurricane-prone state.
The News Service of Florida contributed to this report.