Citizens to drop drywall-plagued policyholders

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Citizens Property Insurance is planning to drop policyholders whose homes contain defective Chinese drywall, Miami attorney David Durkee told the South Florida Business Journal. It’s the second time the company has made a move to rid itself of the costs associated with the toxic building material; last year, Citizens said it would drop some such homeowners’ policies, but changed its mind after garnering negative publicity for the announcement. But Durkee said that once again, several of his clients have received letters, dated Jan. 11 and stating that their insurance coverage would be revoked because of the drywall damage. He warned that the move could lead to additional foreclosures in Florida and called for “a grassroots effort to try and quickly reverse this decision from Citizens.” [SFBJ]