Governor Ron DeSantis announced that Florida’s auto insurance market is stabilizing following 2023 reforms, with Progressive and State Farm cutting rates and returning profits to policyholders.
According to CBS News Miami, Florida’s auto insurance market has significantly improved following the 2023 insurance reforms spearheaded by Governor DeSantis. The Florida Office of Insurance Regulation (OIR) reported that for 2025, the state’s top five auto insurers—representing 78% of the market—are implementing an average -6.5% rate change, compared with +4.3% in 2024 and +31.7% in 2023, marking a major reversal in market trends. CBS News Miami highlighted that this turnaround demonstrates the impact of DeSantis’s reforms, which targeted litigation abuse and strengthened insurer confidence, ultimately improving affordability for Florida consumers.
According to Yahoo Finance, Progressive Corporation recorded a $950 million policyholder credit expense in September 2025, citing the effects of Florida’s 2023 insurance reforms as a key driver of profitability and reduced claim costs. In a filing with the U.S. Securities and Exchange Commission, Progressive said, “Since Florida insurance reform was enacted in early 2023, we have seen lower loss costs on certain types of personal auto accident claims and favorable reserve development.” Yahoo Finance reported that the company plans to issue credits to approximately 2.7 million Florida drivers under Florida Statute §627.066, which mandates insurers return excess profits to policyholders.
Fox 13 News Tampa Bay reported that State Farm, Florida’s largest private auto insurer, filed for an average 10% rate cut for 2025, marking the most significant reduction in more than a decade. The Florida Office of Insurance Regulation confirmed that the state’s top insurers are collectively implementing rate decreases averaging -6.5%, reversing years of premium hikes driven by litigation costs and claims inflation. Fox 13 News attributed these declines to the 2023 reforms signed by Governor DeSantis, which curbed lawsuit abuse, streamlined claim processes, and created conditions for sustained market recovery.
According to the Office of the Governor of Florida, DeSantis has prioritized strengthening the state’s insurance market through landmark 2023 tort and insurance reforms designed to lower costs and promote private-sector stability. His administration continues to support initiatives such as My Safe Florida Home, which helps homeowners harden properties and lower premiums while improving community resilience. The governor’s office states that these combined efforts have strengthened market confidence, reduced litigation, and delivered measurable benefits to Florida consumers.
