If your book includes Florida commercial property, the name Citizens Property Insurance Corporation is likely a daily fixture in your office. Whether you’ve used it as a safety net when admitted capacity evaporated or lost a hard-fought wind risk to its pricing, Citizens has been the gravitational center of the market.
That reality is currently shifting as Florida Senate Bill 1028 ushers in a fundamental reset designed to narrow eligibility and push qualified commercial risks back into the private sector. This isn’t a “wait and see” policy change. It’s going to land on your desk in the form of renewal disruptions and tougher client conversations very soon.
Why the Lender of Last Resort is Shrinking
Citizens was never intended to be Florida’s dominant wind risk carrier. However, as private market pricing climbed, it became the default home for hard-to-place risks. Sean Lorey, VP, Property Broker at Jencap, notes that over time, “Citizens grew far beyond its original footprint because private markets simply couldn’t compete with its subsidized rates.”
This growth created a massive concentration of risk. Policymakers now realize that a single major storm could put systemic strain on the state’s finances. SB 1028 is the tool they are using to de-risk the state by moving eligible policies back into the broader insurance ecosystem.
Breaking Down Florida SB 1028
When legislation moves this fast, rumors sometimes outpace the facts. Here is the actual breakdown of what this bill changes and, perhaps more importantly, what it leaves untouched.
The Functional Changes:
- With tighter gatekeeping, it raises the bar for who can get into (or stay in) Citizens.
- If a private-market carrier offers coverage that meets certain criteria, the account must move.
- It cements Citizens as a “market of last resort” rather than a competitive alternative to private insurance.
According to Lorey, we are looking at thousands of coastal risk policies that will suddenly need new homes. “The volume shift will be meaningful,” he explains. “We’re expecting a real surge in the Florida commercial space as these accounts transition.”
What Stays the Same:
- The bill does not force you to use a specific middleman or clearinghouse.
- You retain the right to choose your wholesale partners.
- You are still the pilot of your marketing strategy. Don’t let rumors of exclusive access suggest otherwise.
The Clearinghouse: A Filter, Not a Gatekeeper
As SB 1028 moves forward, the clearinghouse will become a common term in your workflow. Think of it as a digital review stage where private carriers can claim risks before they are allowed into Citizens.
It’s vital to remember that the clearinghouse is a review mechanism, not a distribution mandate. It doesn’t dictate who negotiates your terms or how you structure a program. In a shifting market, your edge won’t come from a specific platform, but from your own expertise and the strength of your carrier relationships.
Why “Wait and See” is a Risky Strategy
With SB 1028 in its final legislative stages, implementation is expected to move quickly once the ink is dry. If you wait for the renewal notices to hit, you’re already behind the curve.
“We want you to be ahead of this shift,” Lorey says. “Being early allows for proactive marketing. If you’re reactive, you’re just scrambling under time pressure.” As these accounts flood the private market, underwriting discipline isn’t going to soften. Carriers will still be picky about roof age, COPE data, and loss history.
Your Pre-Depopulation Checklist
To protect your renewals, start documenting and marketing these accounts now.
- Audit Your Portfolio
- Flag every Florida commercial account currently with Citizens.
- Identify which wind risks are most likely to be pushed out.
- Manage Expectations Early
- Start renewal talks 90–120 days out.
- Be honest with clients: private market pricing may look different than what they’re used to with Citizens.
- Tighten Your Data
- Ensure you have updated COPE info and wind mitigation forms.
- Have clear, recent photos and loss runs ready to go, especially for coastal risks.
Partner with Jencap Through the Transition
At Jencap, we’ve spent years competing alongside and against Citizens. We understand how to bridge the gap using layered structures and surplus lines capacity. As the market rebalances, the price gap between Citizens and private carriers is going to close, creating a new window of opportunity for agents who are prepared.
Reach out to our Florida property team today to review your Citizens-placed accounts before the legislative shift hits your desk.
Quick FAQ
When does this start?
Implementation is expected shortly after the bill passes the current session.
Is everyone getting kicked out of Citizens?
No, only those who meet the new, stricter criteria for private-market eligibility.
Will my clients pay more?
It depends on the risk, but generally, private-market wind risk coverage carries different pricing models than Citizens.
Do I have to use a specific wholesaler?
Absolutely not. You maintain full control over your partnerships.
The Jencap Property Insurance Team
Jencap’s property teams have extensive experience with all manner of occupancies and have unparalleled specialization in designing, implementing, and servicing complex
property insurance and reinsurance programs. Our team welcomes the challenges presented by CAT-exposed properties, vacant buildings, offensive claims history, new ventures, and everything in between!
