Florida drivers just got more good news about their auto insurance rates. State Farm, which insures 2.5 million vehicles in the state, has announced plans to cut auto insurance rates in Florida, which would save policyholders $400 a year. According to news reports: 

“State Farm Insurance has announced a significant rate reduction for its auto insurance policyholders in Florida, bringing some long-awaited relief to drivers across the state. State Farm’s auto premiums will fall by an average of 10% – if approved – resulting in about $400 in annual savings per vehicle.”

This news comes after Progressive announced similar relief last month, signaling sustained momentum in Florida’s auto insurance market. State Farm noted that these rate reductions are tied to “market stabilization and reduced litigation costs.”

Following lawsuit abuse reforms passed by the Florida state legislature, car insurance rates among the five largest carriers continue to decrease. These five carriers, including State Farm, account for nearly 80% of  the market, meaning a majority of Florida residents will see a decrease in their auto insurance rates.

Regulators have noted how legal reforms are curbing excessive litigation, stabilizing the market, and bringing relief to consumers. 

The takeaway is clear: targeted lawsuit-abuse reforms can deliver tangible savings at scale—without sacrificing consumer protections. Other states grappling with high auto premiums should look to Florida’s lead: pass lawsuit abuse reforms, rein in excessive litigation, deliver lower costs to consumers.