WEST PALM BEACH, Fla. — Two insurance companies have filed requests for rate hikes over 50% with the Florida Office of Insurance Regulation (OIR).
Castle Key Insurance is seeking a 53.5% increase and Amica Mutual Insurance is seeking 54.1%.
Both companies are seeking increases on specialized policies such as condos and second vacation homes.
OIR has scheduled hearings next week on the requests, which is an automatic process on any hikes over 15%, according to Mark Friedlander at the Insurance Information Institute.
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"We haven't seen these type of rates in quite a long time because the trend has been overall lower rate increases," Friedlander said.
Higher costs to fix and replace homes and more severe weather losses have contributed to big increases last year in Florida.
State leaders have also been pointing to a calmer insurance market since reforms were passed in December 2022 to cut down on fraudulent litigation.
Friedlander said it doesn't seem likely the new rate hike requests will spread among other companies, which already had double-digit hikes in 2023.
"The bottom line is, I don’t think it’s a trend that’s starting," Friedlander said.
If you have any questions or issues with homeowners insurance, email Matt Sczesny at matt.sczesny@wptv.com