The governor and Cabinet dropped the hammer on Citizen’s Property Insurance Company, demanding that the state-run insurer get more consumer-friendly and blasting the agency for trying to sue its way to higher rates.
Citizens insures more than a million homeowners who can’t get property insurance elsewhere, and the state agency recently spent $22,000 in legal fees trying to raise its rates even higher.
Attorney General Charlie Crist pushed through a motion before the governor and Cabinet today, blocking Citizens from suing unless it gets the governor’s sign-off first.
“The notion that Citizens Property would raise rates to hire attorneys to sue the state to make sure that the rates keep going up, what they’re doing, in essence, is having the taxpayers sue themselves, in essence, in order to have higher rates. It’s crazy. It makes no sense. It defies common sense and it’s got to stop.”
The Cabinet also nuked Citizens new operational plan because it didn’t include any mention of customer service. Citizens must now hold three public hearings and include ratepayer’s comments in the plan by the end of the year.