Auto Insurance Rates Increases in Florida (2022)

In the stopping point five years Florida has experienced above average rate increases for its car insurance. In this article we give an overview of car indemnity rate hikes in Florida equally well as explain what Floridians can do to save money. Florida drivers have experienced above-average increases to their car indemnity bills since 2015. The average rate hike was about 3.5 % per year, though some companies increased premiums by deoxyadenosine monophosphate a lot as 22 % in one year .

Car insurance rate increases in Florida

car insurance rates in Florida have increased by an average of 23 % overall since 2015 — faster than the national increase of 17 % in the same menstruation. During the past six years, about every major party in the Sunshine State has raised rates importantly. USAA, Liberty Mutual and American Family had the biggest increases : 43 % to 44 % over six years .
Progressive had the smallest addition by far, with a accumulative jumpstart of only 3.6 % since 2015.

Image shows cumulative car insurance rate hikes in Florida by company since 2015
While most cable car policy companies raise their rates each class, the amount varies. This is why we recommend constantly collecting three or more quotes when you go to buy coverage. For exercise, while Geico has raised rates by 35 % in Florida since 2015, the caller is still one of the most low-cost insurers in Florida .

How Florida’s car insurance rates compare to other states

Among all 50 states, Florida had the fifth-highest increase in cable car insurance rates since 2015. In general, states in the South and in the batch region saw some of the highest rate increases : nine of the 10 states with the highest increases are in these two areas. Georgia and Colorado both had accumulative increases of 29 % — the largest in the nation .
Map shows how states compared for auto insurance rate hikes since 2015

Why car insurance rates have gotten so high in Florida

The immediate explanation for why car indemnity costs have increased in Florida is because the frequency and price of car indemnity claims have gone up. Most of the money you spend on cable car indemnity goes towards paying early people ‘s claims, so if more drivers make cable car indemnity claims, your rates will probably go up as a result .

Why rates are increasing in Florida

Natural disasters due to its location on the Gulf Coast, Florida is more susceptible to natural disasters than most early states. twenty-three percentage of all billion-dollar disasters ( adjusted for inflation ) in the United States since 1980 have occurred in Florida, according to NOAA .
What ‘s more, these dearly-won disasters have increased in frequency over fourth dimension : there have been 21 such disasters in Florida since 2016, compared to alone six between 2010 and 2015 .
An increase in natural disasters like hurricanes, tropical cyclones and floods leads to higher insurance costs because car insurance, specifically comprehensive coverage, pays when these events damage your fomite. american samoa long as you have comprehensive coverage, you ‘ll likely be covered if your car is damaged by wreathe, hail or flood. however, these costs are ultimately passed on to your insurance company and other drivers .
Uninsured drivers
Florida has among the highest rates of uninsured drivers in the U.S., 20 % as of 2019. That ‘s much higher than the U.S. median of 13 %, and sixth-highest overall .
Florida ‘s high pace of uninsured motorists leads to higher premiums for drivers who do carry coverage. That ‘s because the 80 % of drivers who do have coverage will ultimately foot the bill for the accidents that the uninsured 20 % are responsible for : either through uninsured motorist coverage or collision coverage, if they have it, or out of their own pockets .

Why rates are increasing nationwide

Although some causes for increased rates are more common in Florida, there are other trends that are true no matter where in the area you live .
Drivers returning to commuting, interstate travel after 2020 COVID-19 lull

In bounce 2020, driving plummeted as people stayed home due to the coronavirus pandemic. As a leave, crashes dropped, and sol did indemnity rates — some insurers even offered refunds as a consequence of having collected more premiums than they needed .
however, as people have returned to working in the agency and traveling around the country in 2021, road manipulation resumed. There was a 55 % nationally year-over-year addition in driving in April 2021, according to the Department of Transportation, resulting in more accidents and claims .
Car prices (and repair costs) are rising nationwide
The typical price for a new car has gone up substantially in the past few years — the median price in 2021 was about $ 46,000, according to Kelley Blue Book. That ‘s an increase of 39 % since 2015 .
What ‘s more, the cost to repair cars has increased countrywide. ValuePenguin found that car animate and care costs more than doubled in 2020 .
Cars that cost more at the franchise, and cost more to repair after a crash, mean that the dollar sum of claims goes up, excessively. unfortunately, this applies even if you do n’t have a fancy new car. If you ‘re at fault in a crash with a Lexus, your insurance company is still responsible for the high repair price .

What can Floridians do if their car insurance rates go up?

If your cable car insurance is becoming less low-cost for you, there are several key steps you can take to address the write out .

Check out rates at other insurers

first, buttocks whether there are cheaper options for your coverage. According to Nielsen survey data, entirely 25 % of Floridians with car policies have shopped for new insurance in the past three years .
We recommend drivers search for a new policy once a year or so. For exemplar, drivers in Miami may see annual rates vary by several thousand dollars. There ‘s no way to know if your current policy is excessively expensive until you take the time to shop around once in a while .

Make sure you’re only paying for coverage you need

Adjusting the limits of your coverage is another room to save money on your car insurance. For exemplar, a car that is more than 10 years old or worth less than $ 3,000 probably does n’t need to have comprehensive or collision indemnity — the cost of your policy will be higher than the declining value of your fomite. Eliminating comprehensive examination and collision coverage cuts your rates dramatically .
You should besides look at your indebtedness coverage limits. Make certain that they make sense in the context of your assets and the likelihood of you getting involved in a lawsuit. If you ‘re confident in your ability to drive safely and want to prioritize savings, you might besides adjust your indebtedness limits to meet Florida ‘s minimum requirements .

Apply for discounts from your insurer

Discounts are another easy way to save money on your car insurance. In Florida, there are defensive drive courses which can save you 5 % to 10 % on your premium. Another exemplar is the good scholar discount rate : drivers with children with at least a 3.0 GPA can qualify for a 10 % deduction.

Methodology

We determined the typical historical rate increases for Florida drivers by analyzing the rate changes filed by Florida car insurers. Statewide averages are based on 2020 insurance company market share .
extra sources :
Kelley Blue Book Insurance Information Institute Nielsen U.S. Department of Transportation National Oceanic and Atmospheric Administration

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