Florida's largest property insurer has approved another round of rate hikes that could affect more than a million policyholders.
The board for Citizens Property Insurance Corp. voted Wednesday to raise rates by a statewide average of 7 percent next year. Many customers face higher increases because they use Citizens to cover only storm-related damages.
The rate hike is still subject to approval by state regulators. It would translate into $178 million in new insurance costs for policyholders.
Citizens is the insurer of last resort in the state and it covers many homes and property that traditional insurers do not cover. But because of rate caps, Citizens says it does not charge as much as it actually needs to cover potential claims.