Auto insurance premiums in Florida are expected to decline in 2025, according to new information from the Florida Office of Insurance Regulation (OIR). The state’s top five auto insurance groups (representing approximately 78% of the market) have indicated an average rate change of -6.5% for the upcoming year. This represents a notable shift from an average +4.3% rate change in 2024 and a +31.7% average in 2023.
The OIR also reports a decrease in Florida’s personal auto liability loss ratio. In 2024, the average liability loss ratio dropped to 53.3%, which the agency states is the lowest in the United States. Additionally, Florida’s overall personal auto incurred loss ratio is estimated at 57.5% in 2024 — ranking as the fifth lowest nationally. This is down from 73.2% in 2023 and 89.7% in 2022.
According to the OIR, multiple insurers have filed for rate reductions this year. Commissioner Mike Yaworsky has approved 46 filings from over 30 insurers reflecting proposed decreases, with at least one group indicating a potential rate change of -11.5%.
The OIR attributes the downward trend in rates and loss ratios to a combination of improved underwriting results across the industry and legislative reforms passed in recent years. These factors appear to have contributed to a decline in litigation and broader changes in market dynamics.
As Florida’s auto insurance market experiences these shifts, shopping activity among consumers has also increased. A LexisNexis report cited by the OIR states that auto insurance shopping rose 16% year-over-year in the first quarter of 2025. The same report notes that 46% of active auto insurance policies were shopped at least once within the past year, potentially reflecting increased consumer engagement and market competition.
The Florida Office of Insurance Regulation continues to encourage consumers to explore options and compare rates to ensure they find coverage that meets their needs.
For further information about Florida’s insurance market performance, visit the Florida OIR website or consult recent regulatory filings.
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