Florida Fines Homeowners Choice Over Reinsurance Contract

A Clearwater-based property insurance company is the latest Florida company to run afoul of Florida insurance regulators.

Insurance Commissioner Kevin McCarty ordered Homeowners Choice Property & Casualty Insurance Co. to pay a $10,000 fine within 30 days for violating Florida’s insurance regulations and come into compliance with the state’s rules or face losing its license.

In the notification to the company, regulators said Homeowners failed to provide information of a reinsurance agreement with its affiliate Claddaugh and that it wants the insurer to have the Bermuda company return more than $9 million in premiums.

Homeowners is the second company in a week to be threatened with suspension by regulators.