Florida Property Insurers Return to Profit in 2024 After Eight-Year Losing Streak

Florida’s personal property insurance market turned a corner in 2024, reporting underwriting profits after eight consecutive years of losses, according to a new AM Best report. Among the 45 insurers analyzed—excluding large national carriers but including past insolvencies—active companies posted a combined ratio of 93.1 and operating income rose significantly. The underwriting gain hit $207 million, a major rebound from the $174 million loss in 2023.

Analysts attribute the shift largely to recent legislative reforms that improved the business environment, creating opportunities for both seasoned insurers and new market entrants. These changes, alongside reduced competition from retreating carriers, expanded capacity and reshaped the competitive landscape. Direct premiums written have more than doubled since 2020, reaching over $11 billion in 2024.

Despite these positive indicators, AM Best emphasized the continued threat of catastrophic hurricane losses and Florida’s heavy reliance on reinsurance. With reinsurance leverage over 500%, compared to a national average of just over 60%, the state remains uniquely exposed to weather-driven volatility.

The findings are in line with previous analyses, including one from S&P Global Market Intelligence, suggesting that Florida’s property insurance sector is finally stabilizing—though not without ongoing risk management challenges. The full AM Best report is available on their website.