Florida’s Insurance Market: Key Updates for Keys Homeowners This Fall

If you’re a homeowner in Key West (or anywhere in Monroe County) this fall brings important shifts in the insurance world. From statewide reforms to new insurance options and grant programs, here’s what you need to know to stay informed and protected.

1. Legislative Reforms Bringing More Insurers Back

Florida’s crackdown on deceptive litigation practices—such as banning assignment of benefits (AOBs) and eliminating one-way attorney fees—along with the introduction of programs like FORA under Senate Bill 2A, have made the state more appealing to insurers. The result? A wave of new companies entering the market and a growing sense of stability.

What It Means for Keys Homeowners:

• More options beyond Citizens Property Insurance.

• Greater competition may lead to improved coverage terms or lower premiums.

• Reduced legal overhead could translate to more responsive claims handling.

2. Citizens Insurance—Still Key, but Shrinking

Citizens Insurance remains Florida’s insurer of last resort. However, its membership is steadily declining as private insurers take over more policies.

What to Watch:

• Policy migrations from Citizens to private carriers may offer better pricing and service.

• Keep track: If you're currently insured through Citizens, monitor whether you're automatically moved or need to shop for new coverage.

3. Premiums: Flat or Slightly Up, but Stabilizing

While Florida homeowners’ insurance rates still rank among the highest in the country, recent data signals a better outlook:

• 2024 saw a modest 1% statewide increase, one of the lowest nationally.

• The latest quarterly report shows a 0.3% bump in base rates—reasonable in context

  However, many may still face substantial renewal costs depending on insurer and policy risk factors.

4. Boost to Resilience via “My Safe Florida Home”

Here’s practical relief for homeowners: Florida has reallocated $280 million to expand its My Safe Florida Home program, offering grants up to $10,000 for wind mitigation upgrades like impact windows, reinforced doors, and stronger roofs.

Why This Matters:

• Upgrades can reduce long-term premiums.

• Increases your home’s ability to withstand storms—especially critical in the Keys.

• Prioritized for seniors and low-income residents, with matching funds options.

Summary Table: What’s Changing This Fall

Trend/Change	What It Means for Keys Homeowners
More private insurers entering the market	More choices, possibly better rates and service
Citizens Insurance is losing members	Potential shifts in coverage—stay alert to changes
Modest rate increases	Slow improvement, but premiums remain high
Wind mitigation grants available	Great opportunity to lower risk and insurance costs

Fall 2025 brings cautious optimism and action for Florida Keys homeowners. Legislative reforms are showing results, but challenges remain so we want to ensure that our clients are armed with the latest information so they can make an informed decision on their coverage and maybe save a couple of bucks along the way!

If you're exploring your insurnace options or need help navigating the insurance hoops in The Keys reach out to one of our real estate agents to get our list of preferred insurance carriers in The Keys.