Insurance Companies in Florida Are Raking in the Profits: Who’s Paying For It?
If you define “success” as high profits and soaring salaries for executives, then Florida’s insurance industry is experiencing incredible levels of success. One insurer’s profits skyrocketed by over 50 percent in the first quarter of 2026, while bonuses of over $10 million are now common for insurance company CEOs. But are average homeowners experiencing the same positive outcomes? What is their definition of “success?” Can a property insurance lawyer in Fort Lauderdale help if you’re struggling with a denied claim?
Two Different Stories Are Playing Out in Florida’s Insurance Industry
It seems as though two very distinct stories are playing out in Florida’s insurance industry. On one hand, both lawmakers and insurance executives are congratulating themselves on a job well done. These individuals claim the credit for saving Florida’s insurance industry after a slew of incredibly destructive storms had major insurers fleeing the entire state. With the insurance industry stabilized, insurers are coming back to the Sunshine State while the insurer of last resort is offloading policies into the private market.
This all might be objectively true, but it does not change the fact that insurance is becoming increasingly unaffordable for Florida residents. In April of 2026, the Herald-Tribune accused Florida’s political class of “letting Floridians down” in terms of insurance affordability. A few weeks prior, KXLG reported that the average annual cost of home insurance in Florida had risen to almost $8,300 in 2025, representing an 18 percent increase compared to 2024. Analysts are expecting insurance costs to increase even more in 2026.
The driving force behind this unaffordability is the inherent risk of storm-related damage in the future. Now that the state (and the larger insurance industry) has witnessed what Mother Nature is capable of, it is impossible to downplay this risk. The cat is out of the bag, and similar storms are inevitable in the future. 2025’s quiet storm season was an outlier, and we can expect much more turbulence in the future.
It is all too easy for lawmakers and insurance executives to focus on the good side of the story. Many insurance company CEOs received over $10 million in cash bonuses in 2025 as a direct result of the industry’s impressive recovery. Insurance Business Magazine recently reported that one insurer raked in over 50 percent more profit in the first quarter of 2026.
The insurer made no secret about attributing this profitability to its “assumption” of policies offloaded by the insurer of last resort, Citizens. This success story may seem considerably dimmer when one considers that the people responsible for these skyrocketing profits are average Florida homeowners, forced to pay higher premiums after being “booted” from the insurer of last resort.
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:
heraldtribune.com/story/opinion/columns/guest/2026/04/30/florida-lawsuits-insurance/89771870007/
mykxlg.com/news/national/florida-home-insurance-costs-spiked-18-in-2025-new-report-finds-insurify/article_b46b4cc4-f981-5ce5-b743-a72887c808d9.html
insurancebusinessmag.com/us/news/breaking-news/slide-insurance-q1-profit-jumps-51-as-citizens-depopulation-pays-off-573777.aspx