Citizens Property Insurance Corp. 101

The eight-member board of directors for Citizens Property Insurance Corp. on Wednesday unanimously named Barry Gilway, an insurance industry veteran from Maryland, as the state-run carrier's new president.

The vote displaced long-time banking regulator and Gov. Rick Scott supporter Tom Grady (pictured) from his interim post. Grady was among those seeking the permanent seat. Get all of the details here.

The decision comes just two days after Grady came to the Bradenton Herald newsroom to meet with editors and myself to discuss issues facing the industry giant. The stop was part of statewide tour to meet with lawmakers, policy holders and community leaders before he forms a recommendation on whether or nor to raise Citizens premiums.

Grady believes a rate increase will likely be needed to make Florida's insolvent insurance industry more competitive. Citizens, which was created to become the insurer of last resort, instead has become the insurer of default.

With more than $1.4 million customers, Citizens is growing a rate of 1,000 new policies a week. The insurer has $500 billion in total exposure and less than $10 in hand to cover those expenses, records show.

Industry experts say Citizens is destined for financial failure should major storm rip through the Sunshine State, likely causing many more private companies to bow from the market.

I'm writing a story that explains all of these financial problems, the pros and cons of a Citizens rate increase, and detailed explanation of how the state carrier works -- which many Citizens policy holders still don't understand. For all of that, be sure to grab a copy of the Bradenton Herald on Monday or check back at Bradenton.com.

UPDATE: You can read the story here, which has all of the details you could ever want to know.

Also today, the Manatee Chamber of Commerce will unveil its coveted small business awards during the annual luncheon. Of course, I will be covering the event.

I'll post updates as soon as the results are announced. I also will be tweeting live from the event, so if you don't already, follow me on Twitter @JoshSalman