Read more: Ratings downgrade of 17 insurers granted stay of execution – for now
The reinsurance arrangement will be run through the state’s last resort carrier Citizens, FLOIR updated. The solution would enable insurers to meet an exception offered by federally backed mortgage providers Fannie Mae and Freddie Mac to ensure homeowners’ insurance coverage can be maintained during hurricane season.
“OIR’s greatest priority is ensuring consumers have access to insurance, especially during hurricane season; and because of the uncertainty with the status of Demotech’s ratings, we’ve been forced to take extraordinary steps to protect millions of consumers,” said Insurance Commissioner
