Florida’s homeowners insurance market has been in crisis for years. Premiums are among the highest in the nation — more than double the national average — and insurance reform is a constant balancing act between consumer protection and market sustainability. However, this year, Florida homeowners face more than high rates and hurricanes. Political gridlock has brought Florida’s 2025 legislative session to a standstill days before the official start of hurricane season, halting key insurance reforms.
Florida’s budget delay comes down to a standoff between the House and Senate over tax cuts. The House wants a broad sales tax reduction to reduce the state’s general sales tax rate from 6 percent to 5.25 percent. The Senate favors a more targeted approach, such as eliminating sales tax on clothing priced below $75. Governor Ron DeSantis isn’t sold on either plan, and instead is pushing for property tax cuts. With no agreement in sight, lawmakers extended the session to June 6, with the possibility of an extension until June 30. This has caused major issues, like homeowners insurance reform, to be in limbo or disappear altogether.
With Floridians juggling high home insurance costs along with economic uncertainty, finding extra funds to put towards storm-resistant upgrades could be a struggle. One bill, SB 1468, proposed a sales and use tax exemption for extreme weather-mitigation products.
To make the upfront costs of extreme weather mitigation more affordable, a tax exemption would be available for impact-resistant doors, windows and other products that meet certain standards and are purchased in February, before hurricane season. This bill was indefinitely postponed and withdrawn from consideration.
Key homeowners insurance bills on hold or withdrawn
The Florida homeowners market has been plagued for over three decades with issues stemming from failing insurers, claim denials and rate hikes — all of which caused many homeowners to lose trust in insurance companies. As recently as February 2025, a report commissioned by the Florida Office of Insurance Regulation (OIR) in 2022 surfaced, implying insurance carriers filed for massive rate hikes while their managing general agents or MGAs (a type of insurance broker that acts on behalf of an insurance company) earned billions.
According to Mark Friedlander, senior director of media relations for the Insurance Information Institute, the incomplete report didn’t accurately reflect the situation.
The 2017-2019 report being investigated was an incomplete draft and very misleading. It only included partial financial data for how managing general agents and affiliates were compensated during this period – revenues earned but not expenses incurred. It was written by a consultant who apparently has no knowledge of insurer operations. — Mark FriedlanderSenior Director, Media Relations, Insurance Information Institute
Due to this report, many bills were drafted this session with transparency for homeowners in mind:
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This article originally appeared here and was republished with permission.
