This is really confusing. Does anyone have a simple explanation:
A policy written with Citizens may be replaced with policy from an authorized insurer at any time during the policy period with a 60-day notice. Additionally because of the "Keep-Out Program, " an applicant may never even get a policy issued through the Citizens if an authorized insurer underwrites and takes the application from the service company prior to the service company processing the application. Under this program the original effective date bound by the agent is honored and the policy cannot be canceled for a period of one year, unless the applicant would not have been eligible for coverage under Citizens' underwriting rules. Commissions under either of these the depopulation programs are payable in accordance with Florida law.
Once I read this, it made the term "keep-out" program easier to understand, which refers to the ability of an admitted carrier to supply a policy instead of Citizens if the admitted carriers policy is issued within 60 days of the issuance of the Citizens policy. It seems the whole idea of this is to keep from placing policies with Citizens.