Recent Lawsuit Numbers Suggest That Reform Has Not Reduced Home Insurance Costs in Florida

Florida lawmakers have spent years repeating the same basic line: Insurance lawsuit reforms have helped reduce costs for ordinary homeowners. Recent statistics show that property insurance lawsuits in Florida have indeed dropped by a significant number. So why are home insurance costs still going up?

Florida’s Share of Nationwide Property Insurance Lawsuits Drops by Almost Half

In July of 2026, Insurance Business Magazine reported that Florida’s share of nationwide property insurance claims had dropped by a significant amount. In 2020, Florida was responsible for 79 percent of all property insurance lawsuits in the nation. In 2025, that figure dropped to just 41 percent.

Lawmakers attribute this decline to tort reforms made throughout 2022 and 2023. This makes sense, as the reforms have generally made it much harder to file a property insurance lawsuit in Florida. Winning a property insurance lawsuit is even more difficult. Supporters of these reforms say that this was the only way to fight lawsuit fraud and excessive litigation. They also stated that the average homeowner would benefit from the reforms by paying lower premiums.

Homeowners Are Still Paying Crippling Property Insurance Premiums

While lawsuits have dropped, many homeowners are still waiting to experience the lower premiums that lawmakers promised them. Many of these homeowners have actually seen their premiums go up since the reforms came into existence. Florida homeowners pay higher premiums than those from virtually any other state, according to recent statistics. Across the country, home insurance premiums have skyrocketed almost 50 percent since 2021.

Some homeowners have given up paying for property insurance in light of these rising costs, turning instead to self-insurance. Others have given up on the entire concept of homeownership, and a recent report states that Florida now has the highest foreclosure rate of any state in the country. While taxes and mortgage rates are part of the equation, property insurance is often the deciding factor for homeowners who decide to throw in the towel.

Why Aren’t Insurance Companies Passing on the Savings to Homeowners?

If property insurance companies in Florida are experiencing far fewer lawsuits, then why aren’t they passing on these savings to ordinary homeowners? While some might explain this away by citing “corporate greed,” there may be far more risk in this market than many realize.

While the insurance industry may have stabilized, it is not exactly in safe territory. One more major, catastrophic storm could easily plunge the industry back into survival mode. Rather than permanently saving the day, legal reforms may have simply bought the industry a little extra time.

Contact Our Fort Lauderdale Property Insurance Lawyers Today

At Fuxa & Tyler, our legal team is made up of a diverse combination of attorneys who are well-positioned to protect the legal rights and financial interests of policyholders. If your property insurance claim was denied, we can help. For a free consultation, please call us today at (954) 990-5251. With an office in Sunrise, we represent policyholders in Broward County and throughout the state of Florida.

Sources: 

insurancebusinessmag.com/us/news/property/florida-homeowners-insurance-lawsuit-share-drops-to-41-after-reform-push-583458.aspx

wftv.com/news/local/florida-has-nations-highest-foreclosure-rate-rising-costs-push-homeowners-brink/P5ZNNRFLUNEO7APFZT7VTAIO6A/?outputType=amp