Legislative reforms bring new insurers — but rising costs and climate risks keep homeowners on alert.
Years went by and Florida homeowners waited anxiously for every renewal notice without having any idea how much higher their property insurance rates might be. Today, in 2025, the state's battered insurance market is finally recovering.
In the wake of a series of disputed reforms passed by lawmakers, more than a dozen new insurers have poured into Florida's property and casualty market. Their arrival has pumped more than $418 million in new surplus dollars into the system — and for many Floridians, more insurers means more choices, better competition, and, in some cases, lower premiums.
"Given what homeowners have been through the past couple of years, this is a breath of fresh air," said a spokesperson for Hatteras Insurance, a highly regarded company in the industry. "But it's not time to get complacent.
Indeed, while some of the rates have stabilized, others continue to increase. Florida's state-backed insurer, Citizens Property Insurance Corporation, authorized a 14% rate increase in 2025 because of ongoing pressures from climate-related threats and higher reinsurance cost. And although some private insurers are offering competitive quotes, others are increasing rates to cover the higher cost of doing business in a hurricane-prone state.
Condo owners are experiencing their share of woes. New state building safety codes added to boost protection — combined with astronomical insurance prices and maintenance charges — are prompting condo owners to sell, sometimes at a loss, especially from older high-rise condos along the coast.
Global issues are making matters worse. Tariffs on overseas building supplies have raised the price of repairs and reconstruction, which in turn is causing homeowners insurance premiums to rise across the board.
And perhaps most concerning is a rising trend: more and more Floridians are opting to skip property insurance altogether. The money saved is tempting in the short term, but experts warn it can financially devastate families after a major storm or fire.
It requires a sharp eye and steady hand to navigate the 2025 property insurance landscape — something Hatteras Insurance has been doing for decades.
Markets change. Risks change. Our obligation is to keep our clients from being surprised," the spokesman said. "That's why we offer customized reviews, risk assessments, and strategies to help preserve what matters most to you — whether that is your home, your condo, or your company."
As hurricane season gets into high gear in Florida, experts advise homeowners to read their policies carefully, stay up to date on market developments, and hire a seasoned agent who can best serve their interests.
