By Chad T. Wilson Law Firm Staff — based on reporting by Kate Hussey, WPTV News, November 13, 2025. Read the original reporting here.
For thousands of Florida homeowners, the fight to get a fair insurance payout has taken a troubling turn. According to a WPTV investigation by Kate Hussey, the very judges deciding property damage disputes against Citizens Insurance are funded by Citizens itself.
Under a 2023 agreement approved by state lawmakers in House Bill 799, the state-run insurer began routing policyholder disputes through mandatory arbitration—a process where administrative law judges, not juries, make final decisions. Those judges’ salaries, roughly $250,000 per year, are paid directly through a contract funded by Citizens Insurance.
That setup is raising serious constitutional and ethical concerns about impartiality and fairness. As one insurance attorney told WPTV, “Judges are human. They have mortgages, they buy groceries. It’s hard to believe they can be completely impartial when the insurer signing their paycheck is also one side of the case.”
Records show that Citizens wins 99% of the cases that go to final hearings. Out of 54 fully litigated disputes between May 2024 and May 2025, judges sided with Citizens in all but one.
More than 1,000 cases have now been funneled through this arbitration system. While Citizens data claims that 37% of policyholders reached “favorable settlements,” many of those “wins” amount to only a few hundred dollars. One attorney told WPTV, “Usually it’s $500—take it or leave it. And if you don’t settle, Citizens threatens to make you pay their legal fees if you lose.”
These outcomes have left many Florida families questioning whether they ever truly had a fair shot.
For Glorida and Jason Nitch of Vero Beach, the fight has been exhausting. Their home was damaged by a tornado ahead of Hurricane Milton, leaving their roof leaking and walls separating. A private engineer estimated $65,000 in damage, yet Citizens denied the claim, blaming “wear and tear.”
When the Nitches appealed, their case was automatically sent to arbitration—without their consent. They later learned that the judge deciding their case was being paid by Citizens. “I think it’s extremely unfair,” Glorida told WPTV. “We didn’t even know this was in our policy.”
Their case remains unresolved, and their home continues to deteriorate while they wait.
Legal challenges are now piling up. In August, a Florida circuit court judge issued a statewide injunction halting the Citizens insurance arbitration process, siding with homeowners who argued the clause strips them of their constitutional right to a jury trial.
Attorney Joey Padilla, who represents policyholders in multiple cases, called the system “a violation of fundamental rights.” Roughly 400 Citizens arbitration cases are now paused while courts decide whether the entire process is even legal.
Despite that, Citizens Insurance stands by its system, claiming it saves money and resolves disputes faster—85 days on average versus 622 days in court. But the speed seems to come at a steep cost for fairness and transparency.
At The Chad T. Wilson Law Firm, we fight for policyholders who’ve been pushed into unfair systems or denied rightful compensation. Whether you’re facing a Citizens Insurance arbitration, a storm damage claim denial, or a delayed payout, our team knows how to challenge these practices and hold insurers accountable.
Here’s what you can do:
At The Chad T. Wilson Law Firm, we’ve helped thousands of Texans rebuild after storms — from tornadoes and hurricanes to hail and wind damage. When insurers don’t hold up their end of the deal, we step in to make things right.
Contact us today for a free consultation. Your recovery is our mission.
Do not lose hope if you have filed an insurance claim and were denied or underpaid. Let the Chad T. Wilson Law Firm get justice for you.
