TALLAHASSEE, Fla. — Governor Ron DeSantis announced that improved market conditions have led Progressive to refund nearly $1 billion to Florida auto insurance policyholders. The refunds reflect reduced losses and strong savings directly linked to the state’s tort and insurance reform efforts.
Joined by Insurance Commissioner Michael Yaworsky, DeSantis highlighted the continued progress in Florida’s insurance market. Major reforms are driving down rates, attracting new insurers, reducing litigation, and delivering significant savings for both homeowners and auto policyholders.
“Florida’s insurance market is stabilizing with decreasing auto and home insurance rates, and frivolous litigation is declining,” said DeSantis. “This year, Florida’s top five auto insurers are averaging more than a 6% rate reduction, and we’ve secured nearly $1 billion in credits for Progressive policyholders. Other carriers are expected to follow soon. Seventeen new companies have entered the homeowners’ market, 33 have filed for rate decreases, and reinsurance market rates have dropped.”
Commissioner Mike Yaworsky added, “Florida’s insurance market continues to see great stability, and the strong underwriting gains in the auto market show the success of our tort reforms. Millions of consumers will start receiving refunds as companies issue credits. We’re monitoring closely to ensure insurers act in the best interest of Floridians.”
Chief Financial Officer Blaise Ingoglia praised the reforms, saying, “Auto insurance rates have dropped so much that policyholders are now receiving refunds instead of paying more. I’ve always fought for policyholders, not insurance companies or trial attorneys. Thank you, Governor DeSantis and the legislature, for improving Florida’s insurance market.”
Homeowners See Relief Too
Florida’s property insurance market is also showing record growth and stability. Seventeen new insurers have entered the market, adding $574 million in policyholder surplus. More than 7.6 million residential insurance policies are now active statewide. Domestic property insurers reported $954 million in net income in 2024, up from $292 million in 2023 and reversing a $741 million loss in 2022.
Since reforms were enacted, the Office of Insurance Regulation (OIR) has received over 150 filings for rate decreases or no change. In 2024, 33 companies filed for rate reductions and 46 for 0% increases. Florida Peninsula Insurance Company requested its largest rate decrease ever—an average -8.4% statewide and -12% for condominium owners.
Florida recorded the lowest average homeowners rate increase in the nation in 2024—just 1%, while 33 other states saw double-digit hikes. Reinsurance costs also declined by 1.56% in 2024 and another 0.36% in 2025, signaling continued market confidence.
Auto Insurance Market Strengthens
Florida’s auto insurance industry is showing strong gains. For 2025, the state’s top five auto insurance groups, which make up 78% of the market, are averaging a -6.5% rate change, compared to +4.3% in 2024 and +31.7% in 2023.
In September, Progressive recorded a $950 million policyholder credit expense, representing profits earned over a three-year period ending December 31, 2025. Approximately 2.7 million policyholders are expected to receive credits.
In an SEC filing, Progressive credited Florida’s reforms for its success, noting, “Since Florida insurance reform was enacted in early 2023, we have seen lower loss costs, favorable reserve development, and strong profitability in our Florida auto business.”
Under Florida law (Section 627.066), insurers must return excess profits to policyholders when applicable. OIR is monitoring several companies that may reach the statutory threshold for refunds.
Litigation Decline and Market Improvement
Thanks to tort reform, frivolous property claim litigation has dropped 25% in the first half of 2025 compared to the same period in 2024. Overall insurance litigation fell 23% year-over-year from 2023 to 2024, remaining below pre-2018 levels. Each month of 2025 continues this downward trend, showing a more stable and fair legal climate.
The reforms also led to the depopulation of Citizens Property Insurance Corporation, Florida’s insurer of last resort. Citizens’ total exposure has fallen by more than $304.5 billion, with 477,821 policies assumed by private insurers in 2024 and another 216,799 policies shifted in 2025—clear signs of renewed private market confidence.
Home Hardening Investments Continue
DeSantis also announced ongoing investments in the My Safe Florida Home program for 2026. The initiative helps families strengthen their homes against severe weather and lower premiums. Since its 2022 relaunch, more than 122,000 inspections have been completed, 63,000 applications approved, and 42,000 projects finished.
Over 62,000 homeowners have received $383 million in grants, resulting in an average $900 premium reduction last year.
Florida’s comprehensive insurance reforms continue to stabilize markets, lower costs, and put money back into the hands of consumers.
This article has been carefully fact-checked by our editorial team to ensure accuracy and eliminate any misleading information. We are committed to maintaining the highest standards of integrity in our content.
Leave a Reply