Almost one year ago, on May 31, 2023, Florida Gov. Ron DeSantis signed sweeping insurance reform legislation into law. At that time, the Florida insurance market was on life support. Homeowners’ insurance companies, stung by massive losses, were leaving the state. Several became insolvent. The state-run “insurer of last resort,” Citizens Property Insurance Corp. (Citizens), became the insurer of first resort. Private insurers raised rates to nosebleed levels to keep up with policyholder claims. Reinsurance protection was getting prohibitively expensive and less available. That was then. The situation now is much better. New capital is entering the market, Citizens is shrinking, and the Florida homeowners’ insurance market turned a modest profit after seven years of red ink.
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