Homeowners Insurance POL 215 Political Science

The citizens of the state of Florida will not soon forget eight very haunting call; Charley, Francis, Ivan, Jeanne (all 2004), Dennis, Katrina, Rita, Wilma (all 2005). These are not name of people, provided storms, hurricanes to be exact, eight devastating hurricanes in 2 years. These natural disasters, that our state is pr one to, wreaked havoc not only(prenominal) physically, but more so financially, leaving Floridians to be parasitical on Citizens stead indemnification throne to insure their homes. Citizens Property restoration Corporation was formed in 2002 by the Florida situate legislature as a state-run indemnity company. Its no surprisal that the yearbook threat of a cataclysmic loss makes insurance companies hesitant, unwilling, or unable to provide place coverage. Citizens Property Insurance Corporation was created for Floridians to ?facilitate the remediation, reconstruction, and replacement of damaged or destroy property in order to reduce or distract the negatively charged effects otherwise resulting to the public health, safety, and welfare?(Citizens al-Qaida Insurance, 2006). Citizens was created by Senate Bill 1418, when Florida Windstorm Underwriting Association and The Florida Residential Property and hazard colligation Underwriting Association were merged. The primary benefit of creating Citizens was to achieve federal working class relieve status and increase efficiency by having one residual market mechanism rather than ii fraction entities (Property and Casualty reform Committee, 2006).

Some of Citizens Property Insurance Corporations veritab le(prenominal) financial resources include (! property and casualty reform committee, 2006); insurance premiums, investing income, operating surplus from prior years, Florida Hurricane Catastrophe broth reimbursements, and buck private reinsurances; other unique financial resources include Non-Homestead and Citizen policy holder surcharges, regular assessments, emergency assessments, and funds derived from Citizens federal tax exempt status. Being struck by eight hurricanes in that two years has resulted in over 39 one million million dollars in damages. Spending has increased tremendously and since more or less major insurance companies... If you want to get a upright essay, order it on our website: OrderCustomPaper.com

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