Can You Stay With Citizens?
A private insurer has offered to take over your Citizens policy, and the letter has a deadline on it. Whether you are even allowed to say no comes down to one calculation: if the offer is within 20% of your Citizens renewal premium, Florida law ends your eligibility to stay. The offer does not have to be cheaper. Enter both figures below.
Where the 20% rule leaves you
Enter both premiums above
The rule, in one sentence
Florida Statutes 627.351(6) says that if a participating private insurer offers to assume your Citizens policy at a premium not more than 20% greater than Citizens' estimated renewal premium, your policy is no longer eligible to remain with Citizens.
Read that again, because the direction trips people up. The offer does not have to save you money. An offer that is 15% more expensive than what Citizens would charge you still falls inside the band — and still ends your eligibility. The only way you keep the right to stay is if every offer you receive lands more than 20% above your Citizens figure.
Every outcome, without using the tool
If you would rather scan the matrix than type numbers, here is the whole decision space. “Offer” means the annual premium a participating private carrier has quoted to assume your policy.
| The offer, versus your Citizens renewal | Example on a $4,000 Citizens premium | Can you decline and stay? |
|---|---|---|
| Cheaper than Citizens | $3,600 (10% less) | No. Inside the 20% band, so eligibility to remain with Citizens ends. Your decision is which offer to take, not whether to leave. |
| Same as Citizens | $4,000 (equal) | No. Still inside the band. |
| Up to 20% more expensive | $4,600 (15% more) | No — this is the one that surprises people. A more expensive offer still ends your eligibility, as long as it is within 20%. |
| More than 20% above Citizens | $4,900 (22.5% more) | Yes. The offer is outside the band. You may accept it or opt out and stay with Citizens — but you must actively register that choice. |
| You do nothing at all | Any | Moot. Citizens assigns your policy to whichever participating company offered the lowest estimated premium — even if you were eligible to stay. |
Three things the calculation can't tell you
- Whether the policy is as good. Citizens coverage is deliberately bare-bones, and many private policies are broader — higher water damage limits, ordinance-or-law coverage, more personal property. But some are thinner. Compare the dwelling limit (Coverage A), the roof settlement basis, and the hurricane deductible line by line, not just the premium.
- Whether the carrier is solid. A low offer from a financially weak company is not a bargain. Ask about the carrier's rating before you accept, and see the carriers we place business with for comparison.
- Your assessment exposure. If a catastrophic storm drains Citizens' reserves, Citizens policyholders can be surcharged on top of premium. Leaving reduces that exposure — a real benefit the premium comparison never shows.
The deadline is the part people lose on. Every takeout packet carries a response date. Miss it and the decision is made for you — and once a private carrier assumes the policy, the transfer is final. Citizens eliminated the old 30-day return window, so there is no undo.
Related guides and quote pages
- The full walkthrough: our guide to what a Citizens takeout offer means and how to decide covers the four things to compare before you sign.
- What Citizens is charging: the county-by-county Citizens rate cuts matter here, because your renewal figure may be lower than last year — which moves the 20% line.
- Flood is becoming mandatory: Citizens will require flood insurance on every policy, which changes the real cost of staying.
- Get it priced: our homeowners insurance page, or the local pages for Miami Homeowners Insurance, Fort Lauderdale Homeowners Insurance and Boca Raton Homeowners Insurance.
Citizens Takeout Offers — FAQ
What Florida homeowners ask when the letter arrives.
What is the Citizens 20% rule?
Under Florida Statutes 627.351(6), if a participating private insurer offers to take over your Citizens policy at a premium that is not more than 20% greater than your Citizens estimated renewal premium, your policy is no longer eligible to remain with Citizens. The offer does not have to be cheaper than Citizens to disqualify you.
Can I stay with Citizens if the private offer is more expensive?
Only if it is more than 20% more expensive. An offer 15% higher than your Citizens renewal still ends your eligibility, because it falls inside the 20% band. If every offer you receive is more than 20% above your Citizens estimate, you keep the choice to accept one or stay with Citizens.
What happens if I ignore the Citizens takeout letter?
Not responding is not the same as opting out. If you do not respond by the deadline printed on your offer, Citizens assigns your policy to the participating company that offered the lowest estimated premium, even in cases where you were eligible to remain with Citizens. Staying requires you or your agent to actively register the decision.
Can I switch back to Citizens after a takeout?
Not automatically. Once your policy is assumed by a private carrier the transfer is final, and Citizens removed the former 30-day return window. Coming back later means qualifying under Citizens eligibility rules again, which now include being unable to find comparable private coverage within the statutory threshold.
Is a takeout offer a bad thing?
Usually not. Private carriers competing for Florida policies is a sign of a recovering market, and private policies often include coverage Citizens caps or excludes, such as water damage limits and ordinance-or-law coverage. Leaving Citizens also reduces your exposure to Citizens assessments after a catastrophic storm. The risk is accepting a thinner policy or a weaker carrier without comparing.
Does the 20% rule apply to the premium or the total cost?
It is measured against Citizens' estimated renewal premium for your policy, which is the figure shown on your takeout notice. Compare the full annual cost including fees when you evaluate the offer itself, but the eligibility test uses the premium figures on the notice.
Got a takeout letter with a deadline on it?
Send it to us before you sign anything. We will put the offer next to your Citizens policy and the rest of our carriers, and tell you plainly which one is actually better — not just cheaper.
This tool is for general education, not legal or insurance advice. It reflects the depopulation eligibility test in Florida Statutes 627.351(6) as of August 2026; your takeout notice, Citizens' current rules, and your policy terms control in every case. See our Disclaimers and Editorial Policy.