Florida Peninsula Insurance Company has filed a proposal with the Florida Office of Insurance Regulation (OIR) seeking to reduce homeowners’ insurance premiums by a statewide average of 8.4%, including a 12% reduction for condominium owners.
If approved, most policyholders could see lower premiums later this year or in early 2026.
The proposed filing marks the largest rate decrease in Florida Peninsula’s 20-year history and comes at a time when most insurers in the state have increased rates in recent years due to inflation, litigation and surging reinsurance costs.
Dulce Suarez-Resnick, of Acentria Insurance, called the move one of the most substantial proposed decreases by a Florida-based insurer, noting it could deliver meaningful savings to tens of thousands of households.
The company credits the reduction to the impact of recent legislative reforms aimed at addressing long-standing cost drivers in the market. Measures such as SB 2A (2022) and HB 837 (2023) curtailed abuses of assignment-of-benefit (AOB) agreements, restricted misuse of the one-way attorney fee statute, and placed limits on claims handling timelines and legal tactics.
Florida Peninsula president Clint Strauch said the reforms have led to fewer frivolous lawsuits and inflated claims, enabling the company to pass on savings to customers.
“This rate reduction shows that the legislative reforms have successfully addressed the root cause of increasing insurance premiums in Florida,” Strauch said.
Florida Peninsula’s proposal adds to growing signs that the state’s property insurance market is beginning to stabilize after years of turbulence. According to a May AM Best report, the market recorded its first underwriting profit in nearly a decade in 2024, supported by improved profitability and increased competition.
Reinsurance pricing, a key pressure point for Florida insurers, dipped in 2024 and has remained stable through 2025.
The OIR has also approved 14 new residential carriers since the reforms took effect, expanding market capacity. Florida domestic property insurers collectively moved from a $741 million loss in 2022 to $944 million in net income by the end of 2024.
Consumer premium growth has slowed as well. While many states saw double-digit increases last year, Florida posted just a 1% average rise, the smallest in years.
Despite signs of improvement, Florida remains the most expensive state for home insurance in the US, with climate risks, hurricane exposure and litigation threats still weighing on affordability. Nationally, homeowners in climate-sensitive areas have seen premiums jump by as much as 82% in recent years.
If OIR approves the filing, policyholders could start seeing the reductions reflected in renewals within months, an uncommon development in a state where homeowners have grown used to annual price hikes.
