A rant about Citizens insurance transfer

[The Villages Guy]

Originally Posted by BucFan

this thread shows why CDF is a rewarding forum - hopefully someone will read the OP's post and preemptively avoid the issue with the bank

Absolutely!

[The Villages Guy]

Originally Posted by Spring Hillian

I will call him again today for his assurance. Better yet, I will email him so I have a written response.

That is my concern. The new company is going to have higher rates although I thought the idea behind Citizens was that they had to have rates higher than the marketplace.

Emmm.........

In writing is the only way to go.

Also, don't go by rates. Look at the coverages you get. Low price is not always the best.

[chi_tino]

Citizens is NOT taking policies back -- it is a one-way street. It is their goal to lower the number of policies that they cover and they have publicly stated that for years.

In addition, most of these replacement companies are unrated or have a failing grade with insurance rating companies. Why you would go with them over a state-guaranteed policy to save a few bucks is beyond me.

Remember, you are not just insuring for the destruction of your home, but also the viability of the company that is writing that policy.

Also, I paid an extra 0.125% on my mortgage rate to avoid having the bank escrow my payments. Between my insurance policies and property taxes, escrowing would have resulted in the bank holding up to $25,000 of my money interest-free. No thanks. In addition, I have the flexibility to pay property taxes in Nov/Dec or January to shift my deductions from one year to the next for tax planning purposes. You can't do that when you escrow.