A newly formed property and casualty (P&C) insurer, Mangrove, has been approved to operate in Florida by the state’s Insurance Commissioner, Mike Yaworksy. The approval, granted earlier this week, marks another addition to the state’s insurance market following legislative efforts to stabilize the industry.
Mangrove Joins Florida’s Property Insurance Market
Mangrove, headquartered near St. Petersburg and led by industry expert Stephen Weinstein, is the latest insurer to enter Florida’s property insurance sector. The company joins ten other insurers approved to operate in the state since the passage of regulatory reforms in 2022-2023. These reforms were designed to address longstanding issues in Florida’s insurance market, including high litigation costs, fraud, and increased exposure to natural disasters.
Planned Policy Assumption from Citizens Insurance
Mangrove intends to assume 81,000 homeowner policies from Florida’s insurer of last resort, Citizens Property Insurance Corporation, by April 15. However, historical data from the Florida Office of Insurance Regulation (OIR) indicates that only about 10 percent of policyholders have accepted similar offers in 2024.
Market Context and Legislative Efforts
Florida’s property insurance market has faced significant challenges in recent years, leading to the departure of several major insurers and rising premiums for homeowners. The state has implemented various regulatory reforms to attract new insurers and encourage competition. Since these reforms, insurers such as ASI Select Insurance, Trident Reciprocal Exchange, Ovation Home Insurance Exchange, and others have entered the market.
Insurance Commissioner and Regulatory Response
Regulators view Mangrove’s approval as a positive step in stabilizing Florida’s insurance market. The company will offer coverage across all 67 counties in the state through licensed independent agents. Mangrove aims to provide sustainable and competitively priced P&C insurance while maintaining robust risk management strategies for catastrophic events.
Mangrove’s entry into the market is expected to provide additional coverage options for homeowners and may contribute to increased competition in the sector.