As 2025 comes to a close, Florida’s insurance market finally showed signs of stabilization after years of disruption. From homeowners insurance reform to auto insurance cost pressures, this year delivered meaningful changes that Florida policyholders should understand heading into 2026. Consider this your Florida Insurance “Wrapped” — a snapshot of what mattered most this year and why it impacts your coverage decisions.
Florida Property Insurance: A Year of Measurable Progress
After several turbulent years marked by insurer insolvencies, carrier exits, and steep premium increases, Florida’s property insurance market made notable strides in 2025.
Florida now has more than 7.5 million active residential property insurance policies statewide, signaling renewed confidence among private carriers re-entering the market. Legislative reforms passed in recent years continued to reduce excessive litigation, helping stabilize underwriting conditions and encouraging insurer participation.
According to data from the Florida Office of Insurance Regulation, average homeowners insurance rate increases slowed significantly in 2025 compared to prior years. While rates remain higher than the national average, the pace of increases dropped to low single-digit percentages for many policyholders, a major improvement over the double-digit jumps Floridians experienced between 2021 and 2023.
Citizens Property Insurance Corporation also saw meaningful depopulation this year. Private insurers assumed hundreds of thousands of policies, reducing Citizens’ overall exposure by nearly $200 billion. This shift helps limit taxpayer risk and supports a healthier private insurance market.
At Singh Insurance & Financial Services, these changes matter because a stabilizing market creates more competitive pricing and better coverage options for Florida homeowners — especially those who qualify for newer private carriers.
Auto Insurance Costs Continue to Climb
While property insurance showed improvement, Florida auto insurance remained a challenge in 2025.
Florida continues to rank among the most expensive states for auto insurance, driven by accident frequency, litigation costs, uninsured motorists, and rising vehicle repair expenses. Industry data shows Florida drivers pay thousands more annually than the national average, particularly for full-coverage policies.
Contributing factors in 2025 included higher medical costs from auto accidents, increased vehicle replacement values, and continued fraud exposure. These pressures caused many insurers to adjust rates, underwriting standards, and eligibility guidelines.
This is where working with an independent agency makes a difference. Singh Insurance & Financial Services compares multiple carriers to help Florida drivers find the most competitive auto insurance options while maintaining appropriate coverage limits and protections.
Florida’s Growing Focus on Risk Management
Another key trend in 2025 was a stronger emphasis on proactive risk management. Insurers increasingly rewarded policyholders who invested in mitigation efforts such as:
• Roof replacements and wind mitigation updates
• Hurricane shutters and impact-resistant windows
• Smart home monitoring systems
• Safe driving programs and telematics for auto policies
Policyholders who took these steps often qualified for premium credits or improved eligibility with private carriers. At Singh Insurance, our team helps clients identify these opportunities and maximize available discounts before renewal.
Why 2025’s Insurance Trends Matter for 2026
The Florida insurance market is not “fixed,” but 2025 proved that progress is possible. Stabilization in property insurance, increased private-carrier participation, and smarter underwriting standards are setting the stage for a more balanced market.
However, navigating these changes without guidance can be overwhelming. Policy forms, exclusions, deductibles, and carrier requirements vary widely, and choosing the wrong policy can leave costly gaps in protection.
Singh Insurance & Financial Services works with Florida homeowners, drivers, and business owners to review coverage annually, shop the market strategically, and build insurance plans designed for long-term security — not just short-term pricing.
As we head into 2026, now is the ideal time to review your policies and make sure your coverage aligns with today’s evolving Florida insurance landscape. Learn more or request a personalized insurance review at singhinsurancegroup.com.