The Florida property insurance market is showing sustained improvement following the state legislature's 2022 to 2023 legal system abuse reforms, with 48 insurance companies filing for rate decreases and 53 requesting no change or a 0% increase since January 2024, according to the American Property Casualty Insurance Association (APCIA).
The Florida Office of Insurance Regulation has also announced a wave of significant rate decreases, with additional requests for decreases of up to nearly 20% currently pending review.
Chase Mitchell, assistant vice president of state government relations at APCIA, said the data reflects meaningful, ongoing progress for Florida policyholders.
"Since the Florida Legislature passed legal system abuse reforms in 2022-23, Florida's property insurance market has improved dramatically, and we continue to see signs of forward progress that are directly benefiting Floridians," Mitchell said, adding that APCIA applauds Commissioner Yaworsky's leadership in quickly approving the decreases.
An actuarial study APCIA released earlier this month found that Florida policyholders paid nearly $3 billion less for home and auto insurance in 2025 compared to the year before. Homeowners insurance rate increases have trended sharply downward over the same period, falling from an average of 9.6% in 2023 to 1.3% in 2024 and 0.9% in 2025.
Twenty (20) new companies have entered the Florida insurance market since the reforms took effect, adding capacity to a market that had seen significant carrier exits and non-renewals in the years immediately before the legislative changes. Insurance Business has tracked that carrier re-entry pattern closely since the reforms passed, noting that new entrants initially focused on coastal and high-risk ZIP codes that had been most severely underserved during the crisis years.
A 2025 APCIA survey found that nearly half of policyholders who shopped around for coverage were able to secure a better price.
The reforms underpinning this recovery targeted two specific legal cost drivers that had made Florida one of the most expensive and litigious property insurance markets in the country. Florida SB 2-A, passed in a special legislative session in December 2022, eliminated one-way attorney fees and assignment of benefits arrangements that insurers had long cited as the primary driver of excessive litigation costs. The follow-on HB 837 in 2023 further tightened bad-faith litigation standards and reduced the timeframe for filing claims.
Together, those two bills were designed to reduce the volume and cost of litigation that had been making Florida unprofitable for property insurers even in years without major hurricanes.
The APCIA data showing rate increases falling from 9.6% in 2023 to 0.9% in 2025 tracks closely with the litigation cost reductions carriers and reinsurers said they expected to flow through as the reforms took effect, and the entry of 20 new companies into the market since the reforms passed provides independent market confirmation that carriers now view Florida as a more viable place to write business than they did three years ago.
APCIA is using the current market conditions to encourage Florida policyholders to review their coverage actively rather than staying with an existing carrier by default.
Mitchell said the combination of new market entrants, falling rates and a quiet 2026 Atlantic hurricane season creates favorable conditions for policyholders who take the time to compare options.
"The Florida insurance market is in its strongest position in years, and with a quiet 2026 Atlantic hurricane season nearly behind us, we anticipate that the market will continue trending in a positive direction with more policyholders experiencing lower costs," Mitchell said.
For agents and brokers serving Florida clients, the rate environment represents a genuine opportunity to demonstrate value through proactive policy reviews rather than waiting for renewals to surface the savings.
The combination of 48 carriers filing for decreases and 20 new market entrants means there are more options to compare than at any point in recent years, making a coverage and pricing review a straightforward value-add conversation rather than a complex placement exercise.
Agents who reach out proactively to existing clients about shopping the market are also positioned to retain those clients when they discover the savings themselves, particularly given APCIA's own finding that nearly half of those who shop find a better price.
