After years of turbulence, Florida’s property insurance market finally shows signs of relief. Premiums have surged over the past several years, leaving homeowners frustrated and insurers scrambling. But the tide may be turning thanks to a combination of legislative reform and market adjustments.
In this article, we’ll explore why the market was so unstable, what’s changed recently, and what homeowners can do to make the most of this moment — with guidance from local experts like American US Insurance, a trusted independent insurance agency based in Miami.
Why Was Florida’s Insurance Market So Unstable?
It’s no secret that Florida is one of the most disaster-prone states in the U.S. With hurricanes, flooding, and rising sea levels, the risks are high — and so are the premiums.
Between 2019 and 2024, homeowners across Florida saw average premium increases of nearly 60%. Many of the issues were structural:
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Frequent hurricane claims
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Rampant litigation and fraudulent roofing claims
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Rising reinsurance costs for insurers
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Lack of competition in the market
When insurance companies absorb heavy losses or are overwhelmed by lawsuits, they either raise premiums, limit coverage or leave the state entirely — which is exactly what happened.
Legislative Reforms That Are Helping in 2025
Florida lawmakers took major steps to fix the system:
1. Reforming Legal Abuse
New laws have made it harder for bad actors to take advantage of legal loopholes, especially around roofing claims and inflated contractor lawsuits.
2. Encouraging New Carriers
As of early 2025, eight new private insurers have entered Florida’s market. This is crucial for driving down rates through competition — a move that independent insurance agencies in Miami, like American US Insurance, are already seeing benefit their clients.
3. Depopulating Citizens Property Insurance
Citizens, the state-run "insurer of last resort," has been offloading policies to private carriers, with over 389,000 transitions since 2023. This signals renewed confidence in the private insurance sector.
4. Reinsurance Stabilization
For the first time in years, reinsurance costs — what insurance companies pay to insure themselves — are declining. In 2024, reinsurance prices fell by 0.7%, compared to a 27% jump the year before.
What This Means for Florida Homeowners
If you’re a homeowner in Florida, this is good news. While premiums may not drop overnight, we’re seeing a cooling-off period that could lead to more affordable and accessible coverage.
Here’s what homeowners can expect:
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Fewer policy non-renewals
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New options from private carriers
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Potential for lower premiums on re-quotes
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More incentives for wind mitigation and risk-reduction improvements
The licensed agents at American US Insurance, a Florida independent insurance agency based in Miami, are already seeing more flexibility from carriers and expanded options when quoting policies — especially for homes with updates or protective features.
Smart Strategies to Lower Your Premium
Whether you’re renewing or shopping for a new policy, here’s what you can do now:
✅ Shop Around with Independent Agencies
Unlike captive agents who only offer one carrier, independent agencies like American US Insurance compare quotes from multiple top-rated insurers. This gives you access to better pricing and tailored coverage.
✅ Upgrade Your Roof or Install Storm Shutters
Wind mitigation improvements — like hurricane ties, reinforced garage doors, or roof straps — can significantly lower your premium.
✅ Ask for a Policy Review
The experts at American US Insurance often uncover overlaps, gaps, or outdated coverages when reviewing existing homeowner policies — saving clients money and improving protection.
✅ Bundle Your Coverage
Homeowners who combine their property policy with auto or flood insurance often qualify for multi-policy discounts.
FAQ: Florida Property Insurance in 2025
Q: Is Florida’s property insurance market still in crisis?
A: No — while it's still challenging, reforms have stabilized the market and new insurers are entering the state.
Q: Will my premium go down this year?
A: Not necessarily, but increases are slowing. Some insurers are even filing for rate reductions.
Q: How do I find the best homeowner policy right now?
A: Work with a Florida-based independent agency like American US Insurance that can shop the market for you.
Q: What’s wind mitigation and why does it matter?
A: Wind mitigation features like reinforced roofs and shutters can earn you discounts on your premium.
Q: Can I trust new insurance companies entering Florida?
A: Yes, as long as they are approved by Florida’s Office of Insurance Regulation. Agencies like American US Insurance only work with vetted, financially stable carriers.
Final Thoughts
The property insurance market in Florida is finally taking a breath — and that’s a welcome change. Reforms are working, competition is returning, and there’s real hope for homeowners tired of relentless premium hikes.
But this is still Florida — risks are real, and every home is different. That’s why working with experienced agents, like the team at American US Insurance, can make all the difference. They understand the market shifts, know the latest carrier options and help Florida families protect their biggest investment with confidence.