Florida Homeowners Still Struggling Despite Insurance Changes
In 2023, the Florida Legislature promised to “fix” the Sunshine State’s troubled homeowners insurance market. Governor Ron DeSantis and other leaders said there were too many “frivolous lawsuits.” They claimed these lawsuits raised insurance premiums. They also said the lawsuits pushed private carriers out of the state.
Lawmakers passed major tort reform. The goal was to cut down on lawsuits. They also wanted to lower costs and bring more insurance companies back to Florida.
Two years later, many policyholders are asking: What really changed?
The reality is that while the reforms stabilized insurers’ profits, they did not bring meaningful relief to families. Lawsuits are still high. Insurance rates remain among the most expensive in the country. Many homeowners continue to have their claims denied.
For many Floridians, securing a fair payout means hiring a lawyer and fighting in court.
What the Law Was Supposed to Do
When the tort reform package was passed in 2023, lawmakers highlighted three main goals:
- Lower insurance premiums. Families would finally see costs go down after years of relentless rate hikes.
- Reduce lawsuits. The law shortened deadlines. It also removed “one-way attorney’s fees.” These changes made lawsuits more costly and less attractive for policyholders. In the past, if a homeowner sued and won, the insurer had to pay their legal fees. That protection was removed.
- Encourage insurers to return. Officials thought that limiting lawsuits would bring more private insurers back to Florida. They expected this to create more competition. They also believed it would give policyholders more choices.
At the time, these promises sounded fair. Families would get relief. Insurers would gain stability. The whole industry would become healthier.
What the Data Really Shows
Two years later, the actual results paint a much different picture. Independent research, including reports from the Insurance Information Institute, shows:
- Lawsuits remain high. In 2024, 13% of denied claims ended up in court — higher than before the reform.
- Florida leads the nation in litigation between policyholders and insurers.
- Claim denials are rising. Nearly half (47%) of all homeowners insurance claims were closed without payment in 2024, the highest share in almost a decade.
- Insurance premiums are still very high. State officials say rates are “stabilizing,” but many families keep seeing yearly increases.
The message is clear. The reforms may have helped the industry’s finances. But they have not fixed the problems that matter most to Florida’s families.
Who Really Benefited?
Insurance companies have seen clear gains since the tort reform passed:
- Florida property insurers made their first underwriting profit since 2015. That means they collected more in premiums than they paid out in claims and expenses.
- Fifteen new private insurers entered Florida’s market. But many are small, underfunded companies that can fail quickly, leaving homeowners vulnerable.
- Industry representatives say the reforms cut down on abuse of the legal system. But consumer advocates disagree. They argue the reforms encouraged insurers to deny more claims. They say this is because lawsuits are now harder and more expensive for homeowners.
Meanwhile, homeowners are left in a difficult position. After big storms, many people face denied or delayed claims. Insurance costs keep rising, even though leaders promised relief.
Why Lawsuits Continue
Lawmakers tried to reduce lawsuits, but they are still common. Insurers often call these cases “frivolous” meaning they think the lawsuits have little value or no real basis. Attorneys and consumer advocates strongly disagree.
For most policyholders, suing an insurer isn’t a choice--it’s a necessity. When claims are denied, underpaid, or dragged out for months, families are forced to go to court to recover enough to repair their homes.
- After hurricanes and tornadoes, many people file insurance claims. But even with clear damage, many of those claims are denied.
- Others receive low-ball offers that don’t cover even half the cost of repairs.
- Some face delays so long that homes become unsafe to live in.
As one attorney put it: “If carriers paid claims fairly, there wouldn’t be a need for so many lawsuits.”
The Homeowner’s Perspective
For families across Florida, the insurance crisis feels never-ending. After Hurricane Milton, tornadoes, and other recent storms, homeowners are dealing with:
- Claims denied outright: even with clear evidence of damage.
- Low-ball offers: payments too small to cover repairs.
- Delays: weeks or months without the funds needed to fix roofs, walls, or plumbing.
- Higher premiums: even as coverage shrinks.
This is why many homeowners feel the “fix” wasn’t really designed for them.
How Homeowners Can Protect Themselves
If you’re dealing with an insurance claim in Florida, here are steps you can take:
- Document everything. Take photos of damage, save receipts, and keep copies of every email or letter from your insurer.
- Don’t settle too quickly. Low offers may seem tempting when you need cash fast, but they often don’t cover the full cost of repairs.
- Know your rights. Even under the new law, you still have the right to challenge unfair denials or payments.
- Seek legal help. An experienced insurance attorney can review your claim. Our law firm can fight wrongful denials. We will also make sure your case is taken seriously.
When Insurers Refuse, the Court Can Deliver Justice
Florida’s insurance reform may have helped the industry. But it has not solved the problems homeowners face every day. Premiums are still high. Claims are still denied. For many families, lawsuits are the only way to get justice.
If your property insurance claim was denied, delayed, or underpaid, you don’t have to fight alone.
Contact our law firm today for a free consultation. We’ll review your case and fight to get you the recovery you deserve.
