TAMPA, Fla., Dec. 12, 2013 (GLOBE NEWSWIRE) -- Homeowners Choice Property & Casualty Insurance Company, Inc., a Florida based provider of homeowners insurance and wholly-owned insurance subsidiary of HCI Group, Inc. (NYSE:HCI), has been approved by the Florida Office of Insurance Regulation to offer flood insurance coverage to its Florida policyholders.
Many Florida homeowners, most of whom have never filed a flood claim, are anticipating substantial increases in their flood insurance premiums under the National Flood Insurance Program as a result of the federally mandated Biggert-Waters Flood Insurance Reform and Modernization Act of 2012. In some cases, rates under the federal program may increase by as much as 25% per year.
To provide rate relief to its existing policyholders, Homeowners Choice plans to offer flood coverage as an endorsement to its homeowners insurance policies. The additional flood coverage is expected to be priced similarly to what Florida residents were paying before the Biggert-Waters Act.
"Our policyholders have always been very important to our company," said Scott Wallace, Homeowners Choice's president. "We plan to help them by offering insurance prices at near-current rates without the drastic federal mandated increases anticipated under the Biggert-Waters Act. We will enter the market cautiously and focus on our strict underwriting guidelines and calculated risk management."
About Homeowners Choice
Headquartered in Tampa, Florida, Homeowners Choice provides property and casualty homeowners' insurance, condominium owners' insurance and tenants' insurance to Florida property owners. Homeowners Choice serves approximately 170,000 policyholders throughout Florida. Homeowners Choice is a wholly owned subsidiary of HCI Group, Inc., a New York Stock Exchange listed company whose common shares trade under the ticker symbol "HCI." For more information about Homeowners Choice, visit www.hcpci.com.
This news release may contain forward-looking statements made pursuant to the Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "estimate," "expect," "intend," "plan" and "project" and other similar words and expressions are intended to signify forward-looking statements. Forward-looking statements are not guarantees of future results and conditions and are subject to various risks and uncertainties. For example, HCI Group, Inc. can give no assurance that flood insurance offerings of Homeowners Choice will be at near-current rates or that its flood coverage offerings will be accepted by the marketplace. Some of these risks and uncertainties are identified in HCI Group, Inc.'s filings with the Securities and Exchange Commission. Should any risks or uncertainties develop into actual events, these developments could have material adverse effects on the company's business, financial condition and results of operations. HCI Group, Inc. disclaims all obligations to update any forward-looking statements.
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