Full story in ABC Action News

By Forrest Saunders

TALLAHASSEE, Fla. — After years of soaring premiums, Florida drivers are finally seeing some relief—at least when it comes to auto insurance.

In a rare turn of good news, Florida’s top five auto insurance groups—which together cover nearly 80% of the state’s insured drivers—are cutting rates by an average of 6.5% in 2025. Some companies are slashing rates by as much as 11.5%, signaling what state leaders say is a much-needed shift toward market stability.

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The rate reductions mark a dramatic turnaround from just two years ago, when auto insurance premiums in Florida spiked more than 30%, driven largely by litigation costs and fraud.

Now, state officials say a package of legislative reforms passed in 2022 and 2023 is delivering results.

“The auto market, we’re seeing real stability emerge once again after a couple of years of pretty significant increases,” Yaworsky added.

Among the key reforms were efforts to limit lawsuit abuse, a major driver of insurer losses. According to state data, Florida’s personal auto liability loss ratio—a metric that measures how much insurers spend on claims compared to premiums collected—has dropped from 80.5% to just 53.3%, the lowest in the nation.

“No more billboard lawyers, you know,” said Lisa Miller, former Florida Deputy Insurance Commissioner. “You can’t drive up and down Interstate 75, or Interstate 10 without seeing these signs that say, ‘let’s sue your insurance company.’ We’re seeing what we need to see in the marketplace, which was a reduction in lawsuits.”

Savings could be meaningful for drivers. Someone currently paying $2,000 a year for car insurance might save around $130 annually with a 6.5% cut.

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In the meantime, shopping around could pay off. A recent report from LexisNexis found that nearly half of U.S. auto policyholders have searched for better deals in the past year—and many found them.