Florida Insurance Commissioner Mike Yaworsky has approved additional auto insurance rate cuts heading into 2026. USAA filed an average 7% decrease in auto insurance rates, which will take effect by May 2026. The reduction is expected to generate more than $125 million in estimated annual savings for USAA’s Florida members.
The Florida Office of Insurance Regulation (OIR) continues to approve auto insurance rate cuts across the state. Over the past year, 42 personal auto insurance companies have filed for rate decreases. Of those, 32 filings occurred within the last six months.
“Going into the new year, the Office of Insurance Regulation is not slowing down on approving rate decreases or 0% increases from insurance companies,” said Commissioner Mike Yaworsky. “USAA is just one of many auto insurance companies that OIR is having productive conversations with to ensure reductions for policyholders. We are thrilled with the progress in the home and auto insurance market since the critical legislative reforms were passed. It is very clear that tort reform was the right thing to do, and we will continue to build on this success.”
USAA leadership emphasized the impact of the rate decrease for military members and their families.
“Every dollar counts for our active-duty service members, veterans, and their families — now more than ever,” said Randy Termeer, USAA P&C President. “This rate decrease reflects improving conditions in Florida’s insurance market and our ability to price competitively while maintaining the financial strength to support our members when they need us. Florida leaders have done great work to strengthen the insurance system and support a more stable, competitive market for Floridians.”
USAA attributes the rate decrease to Florida’s legislative reforms, which have helped stabilize the insurance market.
Earlier this month, Commissioner Yaworsky joined Governor Ron DeSantis to announce broader rate relief for Florida’s auto and home insurance markets. That announcement highlighted several recent auto insurance rate decreases, including:
- Florida Farm Bureau: Average decrease of 8.7%
- Progressive: Average decrease of 8%, in addition to refunding policyholders more than $1 billion
- State Farm: Average decrease of 10.1%. This marks State Farm’s third rate reduction since 2024, totaling more than 20% and exceeding $1 billion in statewide savings
- AAA: Three separate rate reductions during the year, lowering premiums by 15%. A fourth round of reductions will take effect in early 2026
- Allstate: Average decrease of 4% for 13.1 thousand drivers
Florida’s auto insurance market continues to show strong stability following tort reform. In 2024, Florida ranked first in the nation for the lowest personal auto liability loss ratio at 53.3%. This was the lowest recorded level for the state in the past 15 years.
Florida personal auto insurers also recorded the nation’s fifth-lowest incurred loss ratio at 57.5% in 2024. This represents a significant improvement from 73.2% in 2023 and 89.7% in 2022. Auto physical damage loss ratios also declined, falling from 112.0% in 2022 and 70.3% in 2023 to 66.7% in 2024.
The home insurance market in Florida is also stabilizing. Since the legislative reforms, 17 new insurance companies have entered the marketplace. OIR has received more than 185 residential filing requests for rate decreases or 0% increases.
Since January 2024, 39 companies have filed for home insurance rate decreases, while 48 companies have requested no change or a 0% increase. The 30-day average request for homeowners insurance rates is now a 2.3% decrease, compared to a 0.5% increase one year ago. The 180-day average request is down 0.7%, compared with a 7.9% increase one year ago.
About the OIR
The Florida Office of Insurance Regulation (OIR) has primary responsibility for regulating, enforcing, and monitoring statutes related to the business of insurance and industry markets. For more information about OIR, please visit our website or follow us on X @FLOIR_comm.
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