Frequently Asked Questions

Frequently Asked Questions about Non-Renewal Homeowners Policies

Dear Valued Key Agency Client,

Tens of thousands of Florida homeowner policies are being non-renewed this year. Our state experienced two consecutive years of unprecedented hurricane activity in 2004 and 2005. As a result, insurance companies are non-renewing policies to reduce their exposure. We have compiled this list of frequently asked questions to help keep you informed of the situation.

I have had insurance with the same company for years. We did not have any hurricane claims. Why is my premium so high? The insurance companies have raised property rates across the board, regardless of claim activity.

Will my premium ever go back down? There are very few insurance companies writing in the state of Florida. As the state addresses this insurance crisis, we hope we will see relief, but we have no guarantees. Key Agency, Inc. is working with many companies so we may offer our clients the best available solution for their Florida home protection.

My policy was transferred to Citizens. Why can’t I just stay with Citizens? Citizens requires us to re-write all eligible properties, upon renewal, to a standard market company if one is available. If one is not available, then you may have to be re-written back into Citizens.

Is there another company available that is cheaper? Key Agency Inc. is fully reviewing your file, prior to sending you a renewal quote. Unfortunately, homeowner rates are very high at this time.

Can I purchase property coverage and exclude windstorm coverage? No. The insurance companies require us to provide them with proof that you have windstorm coverage. Lenders will mandate windstorm coverage.

Is there a payment plan available? Most companies offer at least a two-pay plan.

What happens if my escrow account is short? The lender will typically adjust future escrow payments, and send the homeowner an escrow shortage letter with a balance due bill.

When can I expect a renewal quote? In order to provide you with a current quote, we must quote your renewal no earlier than 30 days prior to the renewal date. We are re-quoting approximately 10,000 Key Agency clients that are being non-renewed. We ask for your patience at this time.

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