The worst is over for Florida homeowners insurance and the turnaround is happening faster than most people expected.
After years of skyrocketing premiums, insurance carrier exits, and a market in near free-fall, Florida’s insurance landscape is showing signs of recovery.
To bring you up to speed, Florida homeowners insurance prices rose a staggering 74% this decade, all while home prices rose more than 40%.
Florida had it worse than almost anywhere else in the country due to hurricane risk & climate volatility. There were devastating hurricanes in Florida from 2020 – 2024.
There was was rampant Florida homeowners insurance fraud. For years, unscrupulous contractors and attorneys exploited a legal loophole called ‘Assignment of Benefits’ — or AOB.
Here’s how the scam worked: a contractor would convince a insurance customer to sign over their Florida homeowners insurance rights after a storm or roof damage. The contractor would then file inflated or completely fraudulent claims against the insurance company, drag them into expensive litigation, and collect big settlements. Florida accounted for roughly 79% of the nation’s homeowner insurance lawsuits while only representing 9% of claims.
Florida Homeowners Insurance Strengthens
Competition is back. Florida now has 20 new insurers back in the market giving homeowners more choices and putting downward pressure on rates (As a side note, my auto insurer sent me a notice this week of a $237 rate reduction).
Rates are dropping. Citizens Property Insurance — the state-backed insurer of last resort — is reducing rates for homeowner-policyholders by an average of 8.8% in 2026. Some counties are seeing even bigger relief:
* Broward County enjoying reductions around 14.1%
* Miami-Dade near 14%
* Palm Beach County about 11.9%.
Hallelujah!
Reforms are working. Florida’s Governor announced premium reductions at Citizens are among the most significant in recent memory, crediting legislative reforms.
Fraud is down significantly. Florida homeowners insurance cracked down hard on fraudulent roofing claims and assignment-of-benefits abuse — a major driver of the crisis — and the results are paying off for honest policyholders.
Free money for your home. The My Safe Florida Home program offers grants up to $10,000 to help homeowners harden their properties against hurricanes — potentially lowering premiums even further. If you haven’t applied, now is a great time!
On a personal note, last year I installed a new roof and impact windows throughout my home. Our homeowners insurance premium fell 21%.
If you’ve been sitting on the sidelines waiting for the market to stabilize before buying or selling, this is your signal. Florida homeowners insurance and real estate just got a lot more more attractive.
Stability is returning. Shop your policy, talk to your agent, consider mitigation upgrades, and stay proactive. The market isn’t perfect, yet but the trajectory is positive. That’s huge for Florida homeowners insurance, its real estate and its homeowners.
Questions? Call me. I have a few insurance brokers to share if you have the need — I’d love to chat with you.
(Main Photo: At the epicenter of Delray Beach is the Cornell Art Museum and this fun display…)
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*** Do you use the George Bush Blvd bridge to get to the beach? It’ll be closed from June 1 – July 20th. More here
*** Know anyone who may need to sell, or seeking help to buy? Your referral means the world to me…
*** What’s driving Delray’s huge luxury real estate market appeal? Find out here
*** This downtown Delray condo oozes Delray lifestyle and amenities. It has a 94/100 Walkability Score to 110 restaurants and his/her DRY saunas
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*** South Florida Inventory is BELOW 2019 ***
Last week’s supply was 53,388
Today’s supply is 53,073
** Supply is DOWN 43 of the last 56 weeks ***
