ORLANDO, Fla. — After years of soaring premiums and insurers leaving the state, Florida’s property insurance crisis is finally showing signs of a turnaround.
Monday, Governor Ron DeSantis said rate decreases are on the way.
As of January 2026, Florida insurers have filed 83 requests for rate decreases and 100 filings for no increase, DeSantis said.
One of the largest insurers in the state, Florida Peninsula, is awaiting state approval to drop its rates by an average of 8.4 percent. Patriot Select Insurance Company plans to reduce its rates by 11.3 percent.
DeSantis credits that to the legislature’s insurance reform in 2022 to stabilize the market by curbing excessive litigation against insurance companies. The legislation was also intended to help homeowners by mandating insurers process and pay claims faster.
While these reductions are proposed, insurance agent Tom Cotton cautions that not every homeowner may see the decrease immediately. It depends on where you live.
“That might not necessarily be a double-digit rate decrease where you live. It might be in the Tri-County area. It might on the West Coast. But the fact that carriers believe that they can lower their rates and still be able to support claims that may come in is a positive sign,” Cotton said.
Cotton says regulators must also approve the rate reduction before it takes effect.
“It has to be run past state actuaries to determine that the rates are adequate and non-excessive. But we believe that these rate decreases will be approved, but an 8% decrease might not be approved at 8%. It might only be approved at 6% or 5%, but it’s going in the right direction,” Cotton said.
Some rate cuts have already been approved. Heritage Property policyholders, particularly in Orange, Seminole, and Osceola counties, could see changes next month. Seminole County is expected to have a nearly 10 percent reduction.
Even before these approvals, the market had shown signs of improvement.
According to Bankrate, the average homeowner with a $300,000 property paid just over $5,700 for their annual premium last year. In 2023, the average premium exceeded $6,300.
Another positive indicator comes from Citizens Property Insurance, the insurer of last resort. It now manages fewer than 400,000 policies, down from over 1.4 million in 2023. Cotton says this reduction signals that more insurers are returning to the Florida market, which could encourage healthier competition and rates.
Click here to download our free news, weather and smart TV apps. And click here to stream Channel 9 Eyewitness News live.
©2026 Cox Media Group
