Florida Hurricane Tax to End in July 2015

September 26, 2014

A 1-percent surcharge now in place on most insurance bills in Florida will be removed next summer.

The board of Citizens Property Insurance Corp. voted on Wednesday to end an emergency assessment two years earlier than anticipated. Citizens has been using the charge to pay off debts it racked up following Hurricane Wilma in 2005.

The state-created insurer was forced to borrow nearly $1 billion in 2007. Citizens is allowed under state law to place an assessment on most insurance bills, including auto insurance policies, to cover any losses.

Citizens officials estimate that the extra charge has cost some Floridians more than $1,000 since it was first put in place.

The charge, which some critics call a “hurricane tax,” will end in July 2015.

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