Florida has 7 New Home Insurance Companies Entering the Market

01 Mar

Recently, Florida has seen seven new insurance companies enter the market for homeowners coverage. Currently, the average premium for homeowners coverage is $6,000 a year in the Sunshine state compared to a nationwide average of just $1,700 a year, according to the Insurance Information Institute. 

The Insurance Information Institute is hopeful that the new insurance companies writing policies in Florida will help to start stabilizing the market in Florida. 

In 2023, homeowners saw an average increase of 42% in Florida which was on top of an average increase of 33% in 2022. 

According to the Insurance Information Institute, the new insurance companies operating in the state are: 

  • Tailrow Insurance Companies
  • Mainsail Insurance Company
  • Orion 180
  • Orion 180 Select
  • Orange Insurance Exchange
  • Condo Owners Reciprocal Exchange
  • Manatee Insurance Exchange

Experts are hopeful that the new insurance companies will help to stabilize the Florida market. “The trends have been for lower average rate increases for most Florida residential insurers over the past six months,” Mark Friedlander with the Insurance Information Institute said in a recent News 13 article. “It is trending in the right direction, because we are starting to see some stability in the market.”

Do your Research

Whenever new insurers enter a market or you just switch your coverage to a new insurance company, you should make sure you do your research. When it comes to homeowners insurance, you want to make sure that a new insurance company is financially sound and handles claims and customer service issues quickly and fairly. 

 If your insurer cannot cover a claim or their customer service is lacking a lower premium is not a bargain. Check with neighbors and friends regarding insurance companies and always read reviews before signing up with a new company. You can check the financial strength of an insurer with A.M. Best which will give you the insurance carrier’s rating based on its size as well as indicate the company’s financial strength.

In addition to checking out their financial strength, it is always a good idea to check if any consumer complaints have been made against the company. The National Association of Insurance Commissioners (NAIC) or JD Power and Associates are good resources to check for complaints regarding complaints about their claim payments and overall customer and claim service. 

Tips to Lower Your Premium

While homeowners insurance is expensive in Florida there are a few things you can do to lower your premium. Here are a few ways to save a bit of money:

  • Shop your Florida coverage: Insurers rate risk differently which can result in dramatic differences in Florida homeowners insurance premium quotes. Shop your coverage with both new insurers to the market as well as more recognized national brands. Always compare apples to apples when it comes to coverage levels and deductibles. 
  • Upgrade your home: Insurers love it when you upgrade your home to make it more likely to survive a major storm. Some upgrades to consider include adding a metal roof, hurricane windows, a hurricane grade garage door and even adding a layer of stucco to the outside of a home can result in a discount.
  • Discounts: Insurers offer a variety of discounts and then can make a big difference in your premium. Ask your agent to do a discount review to make sure all available discounts are being applied to your premium. 

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