Sinkhole Rates go up THROUGH THE ROOF!!!!!
Hopefully you are already aware, but if not put on your seatbelt. Citizens is raising the premium for Sinkhole coverage by as much as 20x higher. One report has Pasco Counties sinkhole rates going from ~$1700 to almost $6000
I have never advised a client to drop any portion of insurance, but Citizens may drive more policies to not carry Sinkhole policies. You see Sinkhole policies cover damage from sinkhole activity. And yes there has been massive fraud, but instead of addressing that, they do this.
However a basic homeowners policy from citizens covers Catastrophic damage from Sinkholes. What does that mean to you?
If you home is damaged, you pay out of pocket if you do not have Sinkhole coverage. But if you let the damage grow over time, the house will eventually be unlivable. And your regular homeowners policy does cover catastrophic damage.
Citizens seems determined to make Sinkhole coverage unattainable for most people, meaning they will have to pay catastropic claims instead of fixing the problem, before it gets catastrophic. Backwards thinking in my opinion.
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