Protecting American Consumers Together has announced that recent insurance reforms are attracting more property insurers to Florida, according to the Florida Chamber of Commerce.
Senate Bill 2A, signed by Governor Ron DeSantis on December 16, 2022, introduced significant changes to Florida’s property insurance laws. These reforms include the elimination of one-way attorneys’ fees, prohibition of assignment of post-loss benefits, mandatory binding arbitration clauses, and tightened claim-filing deadlines. According to legal analyses by Clyde & Co and Phelps Dunbar, these measures aim to deter frivolous litigation and restore market stability. Insurers and lawmakers predicted that these changes would reduce litigation costs and attract new insurers to the state. The implementation of these provisions began immediately, reshaping claim procedures and policyholder behavior.
According to Reuters, early effects of the 2022–23 legislative reforms included new market entrants and expanded insurer capacity. Ending statutory attorney fees and expanding reinsurance options have spurred companies back into Florida. The analysis notes that these reforms were motivated by the devastation following Hurricane Ian and aggressive litigation practices. Legislative backers predicted that increased competition and reinsurance support would help moderate premiums and stabilize coverage availability.
Citizens Property Insurance Corp.’s policy count dropped to 777,592 as of June 20, 2025—representing a 36% decline from a year earlier and a 44.9% decrease from its peak of around 1.41 million policies in October 2023, according to InsuranceNewsNet Leader’s Edge Magazine. This decline reflects the state’s depopulation strategy, which allows private insurers to assume Citizens policies, indicating growing confidence in Florida’s private insurance market. Citizens forecasts ending 2025 with roughly 771,000 policies, highlighting the continued shift toward private market coverage.
The Florida Chamber of Commerce is a statewide business advocacy organization dedicated to promoting free enterprise, economic growth, and public policy initiatives that enhance Florida’s business climate. The Chamber regularly comments on legislative developments and regulatory reforms, including property insurance laws such as SB 2A, advocating for measures that encourage market competition and reduce litigation risk.
