Citizens is updating our eligibility rules to comply with Senate Bill 2-A, passed by Florida legislators during the December 2022 Special Session. This communication covers new business only. We will send information about renewal at a later date.

All personal residential new-business applications effective on or after April 1, 2023, that include wind coverage and are located in the special flood hazard area, as defined by the National Flood Insurance Program (NFIP), now are required to have flood insurance.

Additionally, all customers impacted by this new rule will be required to sign a Policyholder Affirmation Regarding Flood Insurance (CIT FW01).

Coverage Requirements

Under the new rule, a new-business applicant located in a special flood hazard area is required to secure flood coverage from the NFIP or a private insurance carrier at the following limits:

• Dwellings: Equal to or greater than Citizens’ separate Coverage A and Coverage C limits
• Condominium or unit-owners: Equal to or greater than Citizens’ separate Coverage A and Coverage C limits
• Tenant contents: Equal to or greater than Citizens’ Coverage C limit
• Cooperative unit-owners: Equal to or greater than Citizens’ Coverage C limit

If the above limits are not available from the NFIP, Citizens will accept the maximum coverage amount for which the insured is eligible. Maximum NFIP limits:

• Regular Program: $250,000 Coverage A, $100,000 Coverage C
• Emergency Program: $35,000 Coverage A, $10,000 Coverage C

New-Business Process

For policies effective April 1, 2023, and later, you will be prompted to add the flood information when completing the application and will be required to upload two required documents.

Figure 1: Flood Details on the Property Address Info screen

Required Documentation

To demonstrate compliance with the flood requirement, all new-business applicants meeting the conditions above are required to submit both of the following documents:

• A completed Policyholder Affirmation Regarding Flood Insurance (CIT FW01)
• Proof of flood coverage, which can be any of the following:
  • If an application for flood coverage is pending, a copy of the submitted application and proof of payment as initial proof of compliance
  • A copy of the flood policy declarations
  • Citizens’ Wind Only Policies: Proof that the customer has a flood endorsement that meets the minimum standard on their underlying multiperil policy

Notes

• PolicyCenter® will soon be updated to reflect the flood insurance requirements.
• The website, job aids and underwriting manuals will be updated as soon as possible.
• Policies with windstorm or hail coverage excluded are not required to purchase flood coverage.
• Risks ineligible for an NFIP flood policy may be eligible for a Citizens policy excluding wind coverage.

Learning Opportunities

Agents and credentialed agency staff can register to attend a free webinar, 2023 Personal Lines Flood Insurance Requirements, on January 31 or February 2. Log in to the Agents site and select Training > Live Education, and then select the appropriate link to register.

Citizens Live Webinars