TALLAHASSEE, Fla. — Are car insurance prices taking a big bite out of your budget? If so, the cost to insure your vehicle might be a little less this year.
Florida's Office of Insurance Regulation (OIR) announced Wednesday that it's approving an additional auto insurance rate cut.
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Commissioner Mike Yaworsky said in a statement that the United Services Automobile Association (USAA) filed an average 7% rate decrease that will take effect by May 2026. The agency said this will result in more than $125 million in estimated annual savings for its Florida customers.
The Office of Insurance Regulation said they continue to approve rate cuts for auto insurance. In the last year, the agency said 42 auto insurance companies have filed for rate decreases, with 32 filing within the last six months.
"Going into the new year, the Office of Insurance Regulation is not slowing down on approving rate decreases or 0% increases from insurance companies. USAA is just one of many auto insurance companies that OIR is having great conversations with to ensure reductions for policyholders," Yaworsky said. "We are thrilled with the progress in the home and auto insurance market since the critical legislative reforms were passed. It is very clear that tort reform was the right thing to do, and we will continue to build on this success."
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"Every dollar counts for our active-duty service members, veterans and their families — now more than ever," said Randy Termeer, USAA P&C President. "This rate decrease reflects improving conditions in Florida’s insurance market, as well as our ability to price competitively while maintaining the financial strength to take care of our members when they need us. Florida leaders have done great work to strengthen the insurance system and support a more stable, competitive market for Floridians."
Earlier this month, Yaworsky and Gov. Ron DeSantis announced what they called "major insurance rate relief" for the auto and home insurance market.
Below are other recent rate decreases from auto insurance companies, according to OIR:
- Florida Farm Bureau: average decrease of -8.7%
- Progressive: average rate decrease of -8%. This is in addition to their recent announcement to refund policyholders over $1 billion
- State Farm: average decrease of -10.1%. This is State Farm's third rate reduction since 2024, reducing more than 20% in total and amounting to over $1 billion in savings statewide
- AAA: Three separate rate reductions over the year, lowering premiums by -15%. Last fall, AAA filed a fourth round of rate reductions for auto policies that will take effect early in 2026
- Allstate: 13.1K drivers average decrease of -4%
The OIR continues to cite that the state's tort reforms to the auto insurance and home insurance markets are creating greater stability and growth, causing lower rates to customers.
Matt Sczesny is determined every day to help you find solutions in Florida's coverage collapse. If you have a question or comment on homeowners insurance, you can reach out to him any time.
