Democrats criticized the rollout as premature, arguing the improvement remains fragile and urging further reforms, including proposals like an interstate risk-pooling compact to curb costs.

The 2026 rate strategy builds on 2022 actions aimed at curbing insurer-costly lawsuits, a core driver behind the easing for many Florida customers.

The article ties the current changes to a 2023 law allowing some claim disputes to be sent to the Division of Administrative Hearings, where Citizens has achieved a higher win rate (around 90%) than in circuit court (about 55%).

Florida Insurance Commissioner Michael Yaworsky cautioned that the positive outlook could be disrupted by major legislation or catastrophic economic events, leaving the market vulnerable.

Yaworsky’s office retains authority to approve, reject, or require changes to Citizens’ annual rate proposals, with adjustments varying by policy type and location.

Most rate cuts are slated to apply during spring renewals and are linked to the 2023 tort reforms that officials say are working as intended.

Officials acknowledged factors like inflation, rising replacement costs, and hurricane activity, but credited proactive reforms for stabilizing the market and delivering savings to consumers.

Reinsurance costs have stabilized or fallen, enabling insurers to take on more risk without passing higher costs to customers.

The declines reflect 2022-2023 reforms targeting frivolous lawsuits and assignment of benefits abuses, reducing loss ratios and attracting new insurers to Florida.

Florida homeowners insurance is undergoing a historic pivot as Citizens Property Insurance Corp. reports policy counts plunging from about 1.3 million to under 400,000, with statewide policyholders seeing an average rate cut of 8.7% and South Florida counties projected to see larger savings.

Governor Ron DeSantis framed the reductions as a turning point after years of rising costs, crediting legal reforms, a curb on abusive litigation, and renewed market competition for the decline in premiums.

The rate cuts are set to take effect in spring renewals, with the governor highlighting that more than 150,000 Citizens policyholders could see decreases above 10%.