Florida’s Property Insurance Market Is Shifting Again — Here’s What Comes Next
Florida homeowners have had a stormy relationship with property insurance for nearly a decade — and not just because of hurricanes. Now, with more private insurers re‑entering the state and Citizens Property Insurance Corp. falling below 400,000 policies, major changes are finally taking shape.
To help cut through the noise, Florida Insurance Commissioner Michael Yaworsky sat down with the News Service of Florida to answer the questions on everyone’s mind. His insights paint a picture of cautious optimism — as long as lawmakers don’t shake the system too hard.
Source Spotlight
This article is inspired by an in‑depth Q&A published by the
Sun Sentinel.
Dive into the full conversation for extended insights and analysis.
The Market Is Improving — But Consumers Don’t Feel It Yet
Despite years of chaos fueled by sky‑high litigation and storm losses, Yaworsky says Florida is finally stabilizing. Last year, Florida recorded the lowest rate increases in the nation — just 1%.
“We’ve built this beautiful paradise on a peninsula between two bodies of water that love to throw storms our way.”
He explains that rates and premiums are not the same. Rates are regulated — premiums are driven by inflation, building costs, and replacement value. In short, even when rates fall, premiums can still rise due to the cost of rebuilding modern Florida homes.
Yaworsky adds that reforms passed in 2022 and 2023 prevented even larger increases. Without those changes, Florida could have faced 20–40% hikes like many other states.
The Shrinking of Citizens: A Healthy Sign (But Not the Goal)
Citizens Property Insurance Corp. has shrunk dramatically — from 1.4 million policies to under 400,000. While that sounds like a win, Yaworsky reminds Floridians that depopulation is a result of a healthier market, not the mission.
Citizens remains Florida’s essential insurance safety net. In 2017 and beyond, it carried enough surplus to absorb storms and litigation without triggering statewide assessments — a buffer Florida must preserve for future disruptions.
Health Insurance: A Different Kind of Storm
While property insurance is stabilizing, health insurance premiums are rising sharply — often double digits. Yaworsky attributes this largely to federal policy, but Florida is exploring ways to shield consumers without overreacting.
One notable move: capping insurer dividends when federal projections turn out inaccurate. Carriers must prove they are not profiting unfairly from rising rates.
What’s Coming in 2026: Transparency, Mitigation Credits, and AI Guardrails
The Office of Insurance Regulation aims to protect recent reforms and prevent a return to excessive litigation costs. New consumer-focused initiatives include:
Greater transparency showing where premium dollars actually go
Streamlined mitigation credits to help homeowners strengthen their homes
AI oversight to ensure technology-driven savings reach consumers
After three major insurance crises since Hurricane Andrew, Yaworsky believes today’s policies can prevent a fourth — if Florida stays the course.
Thinking About a Career in Insurance or Real Estate?
Understanding Florida’s insurance landscape doesn’t just help homeowners — it’s crucial for real estate agents, insurance professionals, mortgage brokers, adjusters, and anyone earning a license in today’s market.
If you’re preparing to launch a career or elevate your credentials, Cameron Academy offers state‑approved, flexible online licensing courses across Florida and all 50 states. Designed for working professionals and built around real‑world industry knowledge.
Getting licensed or staying ahead in your career can be a journey—but it doesn’t have to be overwhelming. Grab your favorite coffee or tea, take a moment to relax, and browse through our articles. Whether you’re just starting out or renewing your expertise, we’ve got tips, insights, and advice to keep you moving forward. Here’s to your success—one sip and one step at a time!
Florida now leads the nation in property insurance costs, with many homeowners paying more than $10,000 a year for shrinking coverage and higher deductibles. Despite nearly half of hurricane‑related claims ending with no payout and appeals failing over 90% of the time, state leaders say reforms “need more time to work.” With key relief bills stalled and real estate professionals feeling the shockwaves, experts warn that legislative inaction is deepening a crisis that threatens homeownership and the state’s economic stability.
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AM Best warns that the property and casualty insurance market is heading into a more challenging 2026 as premium growth slows, inflation drives up claims costs, and combined ratios rise. Despite a strong 2025, moderating rates, higher repair and construction expenses, and ongoing reserve deficiencies are pressuring profitability. While commercial lines and personal lines both feel the strain, the E&S market continues to expand as traditional carriers pull back. This shifting landscape highlights the need for insurance professionals to stay sharp, informed, and adaptable.
