WEST PALM BEACH, Fla. — Florida drivers could see a welcome break on their auto insurance for 2025.
Experts said insurance rates are going up this year but at a much slower pace for Florida drivers.
In 2023, auto insurance rates for Florida drivers saw a sharp spike. While we were still in the pandemic, more people were getting back on the roads and insurance rates shot up 18.8%.
The following year in 2024, rates climbed 25.4%.
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Now, insurance experts with LendingTree said the course correction for the auto insurance market is over. Rates are anticipated to climb to 3.1% in 2025.
Even though the increase isn't as high as in previous years, the advice is still to shop around for the best price.
"We compared insurance premiums across some of the largest insurance providers in Florida for the same driver. We found nearly a 180% price variation," Divya Sangamashwar, an insurance expert with LendingTree, said.
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Experts said the price you pay mainly hinges on three factors:
- Your insurance company
- Driving record
- Where you live
In Florida, the latter is known to drive up prices because of the state's high number of uninsured drivers, natural disasters and car thefts.
According to LendingTree, the three auto insurance companies that will have the biggest price gains this year of more than 10% are American Family (16.0%), Allstate (11.2%) and Liberty Mutual (10.2%).
Geico (3.7%), Progressive (3.0%) and USAA (2.6%) will have the smallest price increase on auto premiums, Lending Tree said.
Compared to other states, Florida drivers pay the second highest for auto insurance, according to a study by MarketWatch. Drivers on average in Florida pay more than $250 a month.
