Florida’s Property Insurance Market Strengthens After Major Hurricanes

Following the impact of Hurricanes Helene and Milton on Florida’s coast, the state’s property insurance market has shown resilience, aided by recent reforms. Insurance Commissioner Michael Yaworsky shared positive updates, highlighting new insurers entering the market and rate reductions affecting millions of homeowners. Major insurers like Progressive and State Farm continue to expand their presence, and USAA reaffirmed its commitment to the state, encouraged by legislative reforms from 2023 that aim to create a more stable insurance environment.

Recent developments include the Office of Insurance Regulation (OIR) receiving rate reduction filings from 15 companies, impacting 1.5 million residential policies in 2024. Additionally, 29 companies filed for a zero percent increase on nearly 2 million policies. The average homeowners’ rate request has significantly decreased, further supported by lower reinsurance costs and increased participation in the Citizens Property Insurance Corporation’s Depopulation Program. This growth has led to a $15 billion reduction in exposure for Citizens, while the reinsurance costs for Florida carriers have also dropped by 0.7%.

The OIR remains committed to overseeing insurer conduct and ensuring compliance with state regulations, protecting consumers from unfair practices and emphasizing good faith during claims processes. The state’s regulatory efforts resulted in $8 million in monetary restitution for consumers in the 2023-24 fiscal year.