A Senate Republican has proposed a change that could lead to more homeowners in Miami-Dade and Monroe counties being eligible for coverage from the state’s Citizens Property Insurance Corp.
Sen. Ana Maria Rodriguez, a Miami-Dade Republican who represents all of Monroe and part of Miami-Dade, filed the proposal on Monday for the legislative session that will start March 4.
Under current law, Citizens is barred from selling policies for homes with a “dwelling replacement cost” of $700,000 or more, except in Miami-Dade and Monroe counties, where the limit is $1 million. The bill would raise the limit in Miami-Dade and Monroe to $1.5 million.
Lawmakers have considered such proposals in the past, pointing to issues such as rising home values and difficulty in finding coverage in Miami-Dade and Monroe. The two counties have had a $1 million cap because state regulators determined they do not have a “reasonable degree of competition” for insurance coverage.
The proposal comes as state leaders try to reduce the number of policies in Citizens, which in recent years has become the largest insurer in Florida. Dwelling replacement costs reflect the amount of money that would be required to rebuild homes. They can differ from market values of homes, at least in part because they do not include land values.
