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Citizens Insurance rates could drop

For the first time in four years, nearly six hundred thousand Citizens Insurance policy holders could see their rates going down.

But lower rates may not translate to lower premiums.
The news is good for most every part of the state. The rate for homeowners policies with Citizens will drop an average 3.2 %.

Fewer claims, a drop in sinkhole claims, and lower costs to buy re-insurance all contributed

Lori Rodriguez   Citizens Insurance
"That's very good news for people, what you'll have is approximately 70 percent of our policy holders will be receiving a rate decrease."

Coastal policyholders of wind only policy holders will see increases of up to ten percent. But, the Florida Insurance Council says 8 hurricane free years have made selling backup coverage to insurance companies profitable driving down rates.

Sam Miller    Florida Insurance Council
"Pension funds form Canada that were never in this market, new sources of revenue like that, it's just become available."

The rate decrease may not lead to more money in your pocket
Higher property values could lead to higher premiums.

Lori Rodriguez    Citizens Insurance
"If you're overall policy amount that your home is insured for and that increases that may increase your overall premium even if your rate goes down."
And the decrease is an average drop where you live in the county or the age of your house will impact the size of the rate cut.

Citizens commercial policy holders are not so lucky. They are facing another year of ten percent rate hikes.

The Citizens board will vote on the rate increase  Wednesday and if approved by the office of insurance regulation, the new rates will take effect in January.