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Received a Citizens Depopulation Letter? Your 2026 Guide to New Florida Carriers

Thousands of Florida homeowners are receiving 'Takeout Letters' from Citizens. Here is everything you need to know about the 20% rule and the new companies like Manatee, Apex Star, and Mangrove.

If you just opened your mail to find a letter from Citizens Property Insurance Corporation stating that a private company wants to "assume" your policy, you aren't alone. In 2026, Florida is undergoing its most aggressive depopulation effort in history.

Homeowners are often confused and scared when they see names they don't recognize—like Manatee Insurance Exchange, Apex Star, or Mangrove Property Insurance. This guide explains why this is happening, how the "20% Rule" works, and what you need to know about these new players in the Florida market.

The 20% Rule: Can You Stay with Citizens?

Florida law is very specific about when you can stay with Citizens and when you are forced to leave. This is known as the 20% Rule. If a private insurance company approved by the state offers you a policy, and the premium is within 20% of your current Citizens rate, you are ineligible to remain with Citizens.

For example, if you pay $3,000 at Citizens, and Mangrove offers you a policy for $3,500, you must move. Why? Because $3,500 is only 16.6% higher than $3,000. If the offer was $3,700 (23% higher), you could choose to stay.

Citizens 20% Rule Calculator

Find out if you are legally required to accept a private insurance offer.

$1,000$15,000
$1,000$20,000

The Verdict

Mandatory Transfer

This offer is 16.7% higher than Citizens. Since it is within the 20% limit (max: $3,600), you are generally required to accept this offer or find other private coverage.

*Threshold is calculated as: Current Premium + 20%
Shop for a Better Rate →

2026 Carrier Directory: Who Are These Companies?

Many of the companies participating in the 2026 takeouts are "Reciprocal Exchanges"—a newer structure in Florida where policyholders essentially insure each other, managed by a professional group. Here is the breakdown of the major new entrants:

Carrier NameFinancial RatingMarket Appetite
Manatee Insurance ExchangeA (Exceptional)Specializes in personal residential; taking up to 100,000 policies in 2026.
Mangrove Property InsuranceA (Demotech)Writing in all 67 counties; focus on newer construction and well-maintained roofs.
Apex Star ReciprocalA (Authorized)Assuming ~24,000 policies; targeting moderate-risk suburban homes.
Tailrow InsuranceA (Authorized)New 2025 entrant; taking up to 25,000 policies from Citizens.
Slide InsuranceA (Demotech)One of Florida's largest private carriers; very active in depopulation.

Why You Should Shop the Market Anyway

Just because Citizens "chose" a carrier for you doesn't mean it's the best one available. When a carrier like Tailrow or Apex Star selects your policy, they are doing so because your home fits their specific risk profile. However, other companies might want your business even more.

Before you accept the transfer, you have a 30-day window to work with an independent agent. We can often find private market options that are better priced or offer superior coverage than the company Citizens assigned to you.

The 30-Day Countdown

Once you receive your letter, the clock starts. You have exactly 30 days to either opt out (if eligible) or find a different private carrier. If you do nothing, you will be automatically moved to the new company.

Summary: Your Action Plan

  1. Check the Premium: Use our calculator above to see if the offer is within the 20% threshold.
  2. Research the Carrier: Look at the financial stability ratings. All companies listed above meet the state's strict requirements.
  3. Get a Second Opinion: Call an independent agent to shop the entire private market before you get locked in.

Don't Get Stuck with the Wrong Carrier

We specialize in helping Florida homeowners navigate Citizens depopulation. We'll shop the market to see if we can find a better option than the one Citizens chose for you.

Get a Free Quote & Comparison →

Frequently Asked Questions

How do I opt out of Citizens depopulation 2026?
You can only opt out if the private carrier's offer is more than 20% higher than your current Citizens premium. If it is within 20%, Florida law requires you to accept the offer or find your own private insurance. To opt out, you must follow the instructions in your letter, usually through the Citizens online portal, within 30 days.
Is Manatee Insurance Exchange a good company?
Manatee Insurance Exchange is a new Florida-domiciled reciprocal insurer with an 'A, Exceptional' rating from Demotech. While they are new, they are fully authorized by the Florida Office of Insurance Regulation. They are focusing on personal residential policies in 2026.
What happens if I ignore the depopulation letter?
If you ignore the letter and the offer is within 20% of your current premium, your policy will automatically be transferred to the new private carrier on the date specified in the letter. You will then be insured by the new company, not Citizens.
Why is my premium going up with the new carrier?
Citizens rates are often artificially lower than the true market cost of risk. Private carriers like Mangrove or Apex Star set rates based on current reinsurance costs and modern risk models, which frequently results in a higher premium than Citizens.