Florida’s Citizens Property Insurance Adds Premium Finance Company Violations To Agency Performance Standards
Aug 20, 2014
Florida’s Citizens Property Insurance Corporation (“Citizens”) Market Accountability Advisory Committee (“MAAC”) met via teleconference on August 18, 2014.
To view the agenda, click here.
Taken up first by the MAAC was an action item adding premium finance company violations to performance standards. It was noted that only a limited number of agencies use premium finance companies. However, additional agent training is needed for those agents who use them. The item was approved by the MAAC.
The MAAC also discussed issues relating to Citizens’ Clearinghouse, depopulation and Florida Market Assistance Program (“FMAP”). Adam Marmelstien, the former Chief Operating Officer at Brightway Insurance, was recently hired by Citizens to oversee these issues.
Mr. Marmelstein reported that the renewal process for Citizens’ Clearinghouse policies will begin in September 2014. A total of eight companies will be participating.
All policies that may be eligible to return to Citizens will go back through the Clearinghouse. Mr. Marmelstein noted the distinction between “eligible” and “insurable,” explaining that not all eligible polices are insurable by Citizens.
The goal of Citizens is to give policyholders as much information as possible about their options of insurability, either with a private company or with Citizens, he said.
Regarding the FMAP, the MAAC acknowledged there are issues with who owns the customer data. Citizens officials recognize that a conflict exists on this matter that should be resolved. It was noted that this issue will likely be addressed during Florida’s 2015 Legislative Session.
The MAAC also discussed the ability for Citizens to call for information on the status of transfers. Although of concern the existing agents, Citizens will share the premium information to the requesting agent to facilitate the transfer.
Citizens is working towards the utilization of e-signatures for its policyholders. This initiative is underway and additional updates will be available at a later date.
The next scheduled MAAC meeting is September 23, 2014.
Should you have any questions or comments, please contact Colodny Fass& Webb.
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