If your homeowners insurance bill went up this year, you're not alone. According to a recent Pew Research Center survey, 71% of U.S. homeowners say their insurance costs have climbed over the past few years — and 42% say they've gone up "a lot." But here in Central Florida, I'm actually seeing something most of the country isn't: the start of real relief. Let me walk through both sides — the national trend, and the local news that means Orlando homeowners have more leverage than the headlines suggest.
- Nationally, premiums are up 24% since 2021 to an average $3,303/year — but Florida is bucking the trend.
- Citizens' OIR-approved 2026 rates drop a statewide average of 8.7% (homeowners multiperil −8.8%, effective July 1), and 17 new carriers have entered the Florida market since the 2022–23 reforms.
- An up-to-date wind mitigation report (renews every 5 years) is the single biggest discount lever for Florida homeowners.
- Shop your policy every year, raise your deductible, bundle, and ask about mitigation discounts.
- Never just drop coverage — raise the deductible or shop aggressively instead.
Why Premiums Climbed So Fast Nationally
The short version: insurers have been paying out a lot more in claims, and they pass that cost on. According to the Consumer Federation of America, the average annual home insurance premium has climbed 24% since 2021, reaching $3,303 — twice the rate of inflation over the same period. The typical homeowner now pays $648 more per year than they did four years ago, and premiums rose in 95% of U.S. ZIP codes between 2021 and 2024.
The main culprits are severe weather and rising rebuilding costs. More frequent storms, wildfires, floods, and hail mean more claims — and when those claims get paid, labor and materials cost far more than they did a few years ago. Insurers are recalibrating.
What's Different in Florida Right Now
For years, Florida was the poster child for unaffordable insurance — and plenty of the "moving to Florida" chatter online still claims you'll pay $20,000 a year or can't get covered at all. That's just not the reality on the ground anymore. Two things have shifted in our favor:
Citizens cut rates statewide. Citizens Property Insurance — the state-backed insurer a lot of Central Florida homeowners are still on — has OIR-approved 2026 rates that drop a statewide average of 8.7%, with homeowners multiperil policies down about 8.8% and every personal-lines policyholder getting at least a 2% cut. The new rates take effect July 1 for new policies and apply to existing ones at renewal. When I'm working with a buyer who's $20 over their monthly budget, a cut like that can be the difference that gets them into the home.
Seventeen new carriers entered the market. A couple of years ago there were barely any choices. Since the 2022–23 reforms, 17 new insurance carriers have entered Florida per the state Office of Insurance Regulation — driven partly by reform (including the changes around roof claims) and partly by a stretch of calmer storm seasons. More competition typically means lower rates and better coverage, and it gives you real options when it's time to shop.
What's Probably Driving Your Specific Bill
The national average tells you the trend, but your premium depends on factors specific to you and your home. The biggest ones insurers look at:
- Where your home is located. Proximity to flood zones, storm-prone coastline, or a high-crime ZIP code pushes your rate up.
- Your home's age and construction. Older roofs, wiring, and plumbing cost more to insure. Upgrades can sometimes lower your rate.
- Your roof. In Florida, roof age and installation are a huge factor — which is exactly why the wind mitigation report below matters so much.
- Your claims history. Filing claims, even small ones, can raise your renewal. Insurers also look at the property's claim history, not just yours.
- Your credit score. In most states, including Florida, insurers can factor in credit. A strong score works in your favor.
- Your coverage limits and deductible. Higher limits and lower deductibles both mean a higher premium.
6 Things Orlando Homeowners Can Do Right Now
1. Update your wind mitigation report.
This is the most overlooked discount in Florida — and often the biggest. A wind mitigation inspection documents your roof's age, how it was installed, and other storm-resistant features, and insurers use it to knock down your premium. The report is good for five years, and the inspection runs about $100 to $125. Here's a real example from this year: my own renewal came in around $3,200. I sent it to my agent at College Park Insurance, he found the same coverage through an A-rated carrier — contingent on a fresh wind mitigation inspection — and brought it down to roughly $2,100. That's about $1,000 saved for the cost of one inspection. If you haven't done yours in five years, call your agent today and ask whether you're still getting the wind mitigation discount.
2. Shop your policy every single year.
Loyalty doesn't get rewarded in this market. With 17 new carriers in Florida, there's more to shop than there's been in years. The whole process takes about five minutes on your end — scan your renewal notice, email it to a good independent agent, and let them do the legwork. That's literally what I did to find the $1,100 in savings above. Get a couple of competing quotes at renewal and don't assume your current carrier is still the best deal.
3. If you're on Citizens, confirm your rate cut.
With the statewide Citizens decrease rolling out, make sure your renewal actually reflects it — and use it as a prompt to compare against the newer private carriers, who may be able to beat it with better coverage.
4. Raise your deductible.
If you can comfortably cover a higher out-of-pocket cost on a claim, raising your deductible from $1,000 to $2,500 or even $5,000 can significantly lower your annual premium. Think of it as self-insuring the small losses and keeping coverage for the big ones.
5. Ask about mitigation and bundling discounts.
Beyond wind mitigation, many insurers discount for a new roof, storm shutters, an updated electrical panel, a monitored security system, or a whole-home generator. Bundling home and auto under one carrier usually adds a discount too. These aren't always advertised — call and ask specifically.
6. Review your coverage limits.
If your home's value has shifted, your limits may be out of sync. You don't want to be underinsured in a major loss — but you also don't want to pay to insure a higher rebuild cost than your home requires. And don't set it and forget it: every year or two, check whether anything changed (an addition, a new boat, a renovation) so your coverage still fits.
A Note on Dropping Coverage
When the bill goes up, the temptation to drop or gut your policy is real. According to CNBC, more than one in four homeowners say they'd drop coverage if they could. That's understandable — but it's one of the riskiest moves a homeowner can make.
A single storm, fire, or burst pipe can cost tens of thousands out of pocket. If you have a mortgage, your lender almost certainly requires coverage — and if you let it lapse, they'll add "force-placed insurance," which is typically far more expensive and far less comprehensive than a policy you'd choose yourself. If the cost is genuinely unmanageable, the better path is to update your wind mitigation, raise your deductible, trim optional riders, and shop aggressively. Dropping coverage entirely only defers a much bigger potential cost.
You Have More Leverage Than You Think
The national picture is frustrating, but Central Florida homeowners are in a better spot than most of the country right now — rates are softening, carriers are competing, and the wind mitigation discount is sitting there waiting to be claimed. Pick one thing from this list and act on it before your next renewal. Even shopping your rate once a year puts you ahead of most homeowners.
Whether you're buying, selling, or just trying to make your current home more affordable to own, the cost of insurance is part of the bigger picture across Orange, Seminole, Volusia, and Lake counties. If you'd like a referral to a trusted local insurance agent — or you're thinking about your next move in the Central Florida market — I'm happy to help.
Have questions about buying or selling in Orlando, or want a local insurance referral? Reach out to Brenden Rendo and The Homes In Orlando Team at 407-616-9019 or visit homesinorlando.forsale.
