Florida's 2022-2023 Insurance Reforms Stabilize Property Insurance Market

Florida has implemented significant property and casualty (P&C) insurance reforms in 2022 and 2023 aimed at stabilizing its insurance market by reducing litigation abuse and attracting private insurers and reinsurers.

These reforms address issues such as assignment-of-benefit abuses, one-way attorney fees, and excessive claims litigation, which previously strained the market. Following these measures, there has been a notable entrance of P&C insurers and reinsurers into the Florida market, with litigation claims dropping to pre-2019 levels.

Florida’s Insurance Commissioner Mike Yaworsky highlighted at the 2025 Florida Chamber Insurance Summit that prior to reforms, the market was at risk of collapse due to systemic litigation abuses that drove up costs and limited insurer participation. He cited past reports showing Florida accounted for a disproportionate share of national property claims litigation, which contributed to market instability and reduced consumer coverage options.

The reforms have proven effective in stabilizing the market by curbing abusive litigation practices, restoring insurer capital adequacy, and expanding consumer coverage choices. Yaworsky emphasized the importance of maintaining these tort reforms to prevent escalating costs that would burden Floridians and undermine market progress. Reversing the reforms could reintroduce multi-billion dollar costs to consumers to subsidize the industry.

The commissioner also acknowledged ongoing risks such as hurricane exposure from the Atlantic Ocean and Gulf of Mexico, reinforcing the need for a resilient and responsible insurance market. The emphasis remains on balancing consumer protection with insurer capacity to handle catastrophic events in Florida’s high-risk natural hazard environment.

The Florida Chamber Insurance Summit also featured discussions on reinsurance rates and upcoming Florida-focused renewals, reflecting broader market dynamics and pricing considerations critical to sustaining the state’s property and casualty insurance landscape.