The Florida Office of Insurance Regulation (FLOIR) has announced that the state’s top five auto insurance groups are reporting an average rate change of -6.5% in 2025. This adjustment reflects the impact of recent legislative reforms aimed at reducing insurance costs.
According to Gulf Coast News Now, while these reforms have led to a significant decrease in auto insurance rates, some lawmakers have opposed maintaining these measures. Representatives Omar Blanco and Vicki Lopez supported efforts aligned with billboard trial attorneys to overturn key elements of the reforms. This has raised questions about their commitment to providing rate relief for constituents. The report highlights growing scrutiny over why certain legislators would challenge policies credited with driving Florida’s personal auto liability loss ratio to the lowest in the nation at 53.3%.
Recent state data indicates that Florida’s average personal auto liability loss ratio dropped to 53.3% in 2024, marking it as the lowest rate nationwide. This decline follows previous ratios of 74.5% in 2023 and 80.5% in 2022, showing a multi-year improvement attributed largely to reduced litigation and tort reform laws limiting attorney fee recoveries for plaintiffs.
Florida’s overall personal auto incurred loss ratio was approximately 57.5% in 2024, ranking fifth-lowest nationally, down from 73.2% in 2023 and 89.7% in 2022. According to ProgramBusiness, these improvements reflect better underwriting results across the industry and state reforms that have reduced legal costs associated with claims. The data suggests insurers in Florida are moving toward greater profitability and stability, contributing to rate reductions.
Representative Blanco sponsored HB 947, which seeks to reinstate payment of attorney fees based on potential rather than actual medical costs in insurance lawsuits—a practice criticized for inflating verdicts and encouraging meritless claims. Insurance industry groups argue this proposal would reverse reforms credited with declines in auto and homeowners rates by re-incentivizing litigation.
The Florida Office of Insurance Regulation is responsible for supervising and regulating insurance companies operating within the state. Under Insurance Commissioner Mike Yaworsky, FLOIR reviews insurer filings, approves rate changes, and enforces compliance with state law.
