WEST PALM BEACH, Fla. — Florida homeowners are opening insurance renewal notices — and many are not happy with what they find inside.
Sean Sculley, a homeowner in the Grandview Heights neighborhood of West Palm Beach, recently received a renewal notice that left him stunned. He and his husband have owned their home for 34 years.
WATCH BELOW: Hidden factor driving up Florida home insurance premiums
READ MORE: Helping You Save Money
"It was a letter that was sent about a week ago informing us of the new premium," Sculley said.
That new premium came in at $11,800 — nearly double the $6,091 he had been paying with Citizens Property Insurance.
Two years ago, Sculley received a takeout notice moving him from Citizens to a private insurer at 18 percent more. Now, his latest renewal has pushed costs even higher.
The insurer cited one key reason for the dramatic increase: a jump in the estimated replacement cost of his home — from roughly $468,000 to $791,000.
"One reason they gave was because of the estimated replacement cost," Sculley said.
"Which increased dramatically from a year ago?" WPTV reporter Matt Sczesny asked.
"Correct from about $468,000 (in 2025) to $791,000 (in 2026)," Sculley replied.
That replacement cost factor is a hidden driver that can push premiums higher even when overall insurance rates are trending down. The COO of a separate insurance company explained the dynamic.
"If you buy replacement coverage, which is what we sell each year with inflation costs, the cost of materials and labor goes up. We got to pay that, so we got to charge you for it, so on one side you're happy your house goes up and on the other side to fix it costs more money, and we need to collect more," Tom Gallagher, the chief operating officer of Peoples Trust Insurance, told WPTV.
Florida Insurance Commissioner Michael Yaworsky also weighed in on what homeowners can do when they feel their rate is too high.
"Consumers who aren't happy with their rate because they were with Citizens or with a private carrier should absolutely call their agent and shop around," Yaworsky told WPTV last month in Tallahassee.
With little time left before his renewal deadline, Sculley is now shopping around for a better deal — and that is the best advice for any homeowner not happy with the premium in their renewal notice.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.