TALLAHASSEE, Fla. – Florida drivers should soon see some relief on their car insurance bills, as recent legislative reforms appear to be driving rates down.

RELATED: Gov. DeSantis says GEICO, Progressive among auto insurance companies to decrease rates in Florida

The Florida Office of Insurance Regulation announced that the state’s five largest auto insurers — representing nearly 80% of the market — are planning to reduce rates by an average of 6.5% in 2025.

The rate cuts follow sweeping changes to the state’s insurance tort laws passed in 2022 and 2023. The reforms eliminated so-called “one-way attorney fees,” which had previously encouraged a high volume of lawsuits against insurers. Lawmakers also banned the assignment of insurance benefits to auto-glass repair shops, a move that has led to a notable drop in related litigation, according to Insurance Information Institute spokesman Mark Friedlander.

Among the insurers announcing decreases:

• GEICO plans to cut rates by 10.5%

• Progressive by 8.1%

• State Farm by 6%

• All State and USAA both anticipate a 6.5 rate reduction

The rate reductions come after years of sharp increases, including a 31% surge in 2023 alone. Despite the drop, Florida still ranks among the most expensive states in the U.S. for auto insurance, driven by a high rate of uninsured drivers, frequent severe weather, and the state’s no-fault insurance system.

“We had a major fraud situation escalating in Florida where unscrupulous actors were contacting drivers at car washes, gas stations, shopping centers and telling them, ‘oh I see there’s a crack in your windshield, we could take care of that for you. Sign your claim over to us.’ It was called ‘assignment of benefits.’ In March 2023 the Florida Legislature eliminated assignment of benefits for glass claims, and that also targeted the high volume of frivolous lawsuits related to those glass claims in 2023,” Mark Friedlander of the Insurance Information Institute said.

The legislative changes worked. According to industry data, glass-related lawsuits dropped by 80% last year, and that savings is now showing up in your premiums.

“We saw 46,000 last claim lawsuits filed in 2023 that dropped dramatically after the legislation went into effect. We had 80% less lawsuits last year related to glass claims. Those expensive saves are now being passed on,” Friedlander said.

Even so, insurance experts and state officials see the trend as a promising sign. Florida’s personal auto liability loss ratio — the amount insurers pay in claims relative to premiums collected — fell to 53.3% in 2024, the lowest in the country.

Experts say now is the time to shop around for the best auto premium because you may be eligible for a discount you may not be aware of.

Drivers can get discounts by:

• Bundling: Combine your auto insurance with your home or renters insurance.

• Paying your bill in full or use electronic billing.

• Maintaining a good driving record for at least three years.

• Veteran discounts or senior citizen discounts.

• Teen drivers with good grades can qualify for a discount.

If you’ve been insured with the same company for a year, you can also qualify for a loyalty discount. You can also allow your insurer to track your driving habits through a mobile app.

Regulators and industry leaders hope continued legislative reform will stabilize the market and bring further savings to Florida drivers.