As its board meets Tuesday, state-run Citizens Property Insurance Corp. wants to raise standard homeowner premiums 6.7 percent statewide in 2018 and 9.3 percent in Palm Beach County.
The average premium for an H03 policy, or single-family home, would rise to $2,877 from $2,631 in Palm Beach County, according to filings approved with little debate by the Citizens actuarial and underwriting committee Monday.
Wind-only policies would rise 2.6 percent in the county to $2,964 and 1.2 percent statewide.
If the full Citizens board approves, the proposals would be sent to state regulators for consideration. They would take effect in 2018.
The board will also consider several changes to company rules, including a number to address to address claims from water losses that company officials say are inflated by contractors and attorneys in South Florida. These are not from hurricanes or severe storms but things like plumbing leaks.
“The peril of water continues to be the primary driver of Citizens’ increased rate need,” a company proposal said. “In particular, litigated water claims in South East Florida (Miami-Dade, Broward, and Palm
Beach counties) are driving the water indication.”
Homeowners would have an option to use the company’s own contractors in a managed repair plan or face a $10,000 limit on what Citizens will cover in water losses. Citizens also proposes to refuse to coverage for more than one water claim in three years or two in five years. Currently homeowners must have fewer than three “non-Act of God” losses in three years.