Florida Homeowners Pay Some of the Highest Insurance Costs In The Country

Homeowners across Florida are paying some of the steepest insurance bills in the nation.

In comparing newly released Census Bureau data and information in the Realtor.com® 2025 Climate Risk Report, it is clear that the state stands out for both high annual premiums and heavy exposure to climate risks.

These rising insurance costs are adding pressure to Florida households already contending with elevated home prices and mortgage rates.

Florida’s Insurance Costs Outpace Neighbors

The latest American Community Survey (ACS) data from the U.S. Census Bureau shows that in 2024, Florida homeowners with a mortgage typically spent between $2,000 and $2,499 annually on homeowners insurance, while those without a mortgage averaged $1,000 to $1,499. That puts the Sunshine State above nearby states like Georgia and South Carolina, where most insured homeowners pay between $1,000 and $1,499 per year.

The Census also provides a window into how many households fall at the extremes of coverage. Out of more than 6.2M insured households in Florida, about 7,660 mortgaged households reported paying less than $100 annually, while more than 322,000 shouldered $4,000 or more.

Among homeowners without a mortgage, nearly 883,000 paid less than $100, but more than 518,000 paid at least $4,000. These extremes illustrate how volatile costs have become across the state.

Florida Metros Face Extreme Climate Risk

The Realtor.com 2025 Climate Risk Report highlights Florida as one of the most vulnerable states for climate-related insurance pressures. Miami homeowners carry the heaviest insurance burden among the top 100 U.S. metros, with premiums averaging $22,718 a year—3.7% of the median market value. Cape Coral and Tampa also land near the top, where insurance premiums consume more than 2% of home values.

Flooding remains a central concern. Nearly $307B in residential value is at severe or extreme flood risk in Miami alone, representing 23% of the metro’s homes. Tampa faces $117.7B in value at flood risk—over a quarter of its housing market.

Wind risks are equally widespread. In 14 Florida metros, every home is considered to face severe or extreme hurricane wind risk, including Jacksonville, Orlando, Sarasota, and Tampa. With hurricane deductibles running 2–5% of dwelling coverage, a typical Florida homeowner with $400,000 in coverage could be on the hook for $20,000 out of pocket before insurance even applies.

“Insurance costs weigh most heavily on lower-value, high-risk markets—particularly in states like Louisiana and Florida,” said Jiayi Xu, economist at Realtor.com in the Climate report.

A National Struggle With Affordability

Florida’s challenges mirror a growing national trend. The Realtor.com 2025 Insurance Unaffordability report found that 75% of Americans believe homeowners insurance could soon become unaffordable. Nearly half of survey respondents said they have already faced, or expect to face, difficulties renewing their policies.

The financial strain is leading many to reconsider coverage. More than half of homeowners nationwide said they would consider dropping their insurance altogether if costs climb further, with younger buyers especially at risk of going uninsured.

For Florida homeowners, the combination of high premiums and mounting climate risks underscores why insurance affordability is one of the biggest concerns in today’s housing market.

This article was produced with editorial input from Dina Sartore-Bodo, Gabriella Iannetta, and Allaire Conte.