What depopulation is
Depopulation, also called take-out, is the statutory program under Fla. Stat. 627.351(6) that shifts policies from Citizens Property Insurance back into the private market. Citizens can offer credits and incentives to private insurers that agree to take risks out of the corporation and keep them out. Any take-out bonus must be conditioned on the property staying insured by that carrier for at least 5 years, unless you cancel or the insurer nonrenews.
The 20 percent eligibility test
Depopulation is tied to the same price comparison that governs Citizens eligibility generally. Once an authorized insurer makes you a take-out offer, you are no longer eligible to stay with Citizens unless the private premium is more than 20 percent greater than Citizens' renewal premium for comparable coverage. In plain terms, if a private offer comes in within 20 percent of your Citizens price, the statute pushes you out of Citizens and into that private policy.
What notice you get
Citizens must send written notice to you and your agent of record about every insurer requesting to take out your policy. For each offer, the notice must include the estimated premium, a description of the coverage, and a comparison of the offered premium and coverage against Citizens' own estimated premium and coverage. That comparison is your tool for deciding whether a take-out is genuinely as good as staying put. Read it closely, because a take-out carrier is not always the more stable or better-service option, even at a similar price.