Last resort insurer Citizens Property Insurance Corp. recently declared that it will begin processing cancellations and non-renewals once again at the beginning of the pandemic. The insurer had originally placed a moratorium during the early days of the pandemic.
Citizens said that the Board of Governors decided at its meeting last month to end the impermanent moratorium imposed in March of last year to relieve the burden on policyholders due to COVID-19 and its risks to public health.
Cancellations and non-renewals will be processed on February 1st for policies that have exceptions made as a result of the health risk of COVID-19. Following this, only those policyholders who appear to be impacted by lack of jobs, reduced salaries or company profits, or any other monetary loss made after the period of emergency and immediately affecting the ability of the policyholder to make payments would be considered hardship exceptions.
Citizens’ original plan was to do away with the moratorium during summer 2020 but the insurer changed its mind after Florida’s Chief Financial Officer urged Citizens not to cancel customer policies in the middle of the pandemic and hurricane season.
To read more, visit https://www.insurancejournal.com/news/southeast/2021/01/14/597454.htm.
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