Floridians are facing home insurance sticker shock, with some annual policies now costing six figures.
James Molinari, who owns a four-bedroom home in West Palm Beach, told the Wall Street Journal that the new rate for his homeowners insurance was about $121,000 – seven times more than the year before.
Molinari found a better deal from another insurer for $33,000, but ultimately decided to put the house up for sale. Others in the community told the WSJ they made similar decisions because of the cost of insurance.
Elsewhere in the state, Florida’s ultra-rich are paying more than $620,000 for homeowners insurance, Bloomberg reported last month.
The latest reports are just the latest example of Florida’s ongoing insurance problem, which has pushed average premiums in the state to the highest levels in the nation.
Since 2019, the average annual home insurance premium for Floridians has tripled from $1,988 to the current $6,000.
A combination of extreme weather and a wave of fraudulent property claims have contributed to the crisis, driving major carriers out of the market.
Progressive, for example, is not renewing 100,000 home insurance policies in the state, NewsNation affiliate WFLA reported earlier this month.
Now some homeowners are forgoing insurance altogether. A 2023 survey by the Insurance Information Institute found that 12% of homeowners don’t have homeowners insurance.
