Home and car insurance relief promised for many South Florida residents – NBC 6 South Florida

Gov. Ron DeSantis went for the WOW factor Wednesday, speaking at the Wall of Wind at Florida International University. World-class research on making buildings withstand hurricane-force winds is done at the facility, and it’s those storms that drive up insurance rates for everyone.  

DeSantis used that backdrop to deliver encouraging news about home insurance rates, something he said has “roiled this hurricane-prone state for decades.”

He announced that “very soon,” many South Florida customers of the state’s Citizens Property Insurance Corp. will receive the following rate decreases:

• In Miami-Dade County, 73% of primary homeowners will receive an average decrease of 6.3%
• In Broward County, 52% of homeowners will receive an average decrease of 4.5%
• And in Palm Beach County, nearly 19% will benefit from lower premiums

Full details were not immediately released. The Citizens Board of Governors in June approved a proposal that sought an average 13.5% rate increase statewide for the most common type of Citizens policy, known as homeowners’ multi-peril coverage. But the state Office of Insurance Regulation has not ruled on the proposal.

The governor attributed the rate cuts to reforms enacted by the legislature in recent years which he says have stabilized the insurance market, leading 11 new companies to start writing policies in the state. 

“If some company’s overcharging you, if you have four companies to choose from that can give you a better deal you choose it, and then people vote with their feet and competition for your business,” DeSantis said. 

DeSantis said auto insurance rates will also be going down for customers of Geico, Progressive, and State Farm.

• Geico: -10.5%
• Progressive: -8.1%
• State Farm: -6%

He said it’s because the market is more favorable, not because drivers are suddenly more conscientious. 

“Florida drivers are interesting, I think we all know that being here in Southern Florida, I really, really don’t know how you fix that, we’re working on it,” DeSantis said to laughs from the crowd. 

The governor said last year, Florida led the nation in having the smallest average increase in home insurance rates. 

What he did not say is at the same time, Florida’s average home insurance rate is about four times higher than the national average.

Citizens, which was created as an insurer of last resort, grew in recent years to become the state’s largest property insurer because of problems in the private market. Its largest concentrations of policies are in South Florida.

Citizens officials have long argued that the state insurer needs higher rates because it often charges less than private carriers. The state has worked to shift policies from Citizens into the private market, and officials say lower Citizens rates serve as a disincentive for policyholders to move.