Why did prices rise, and what if you are dropped?

The short answer

Bigger storms, higher rebuild costs, costlier reinsurance and, in Florida, an outsized share of the country’s lawsuits. If you are not renewed, you have notice rights and options.

Bigger storms, higher rebuild costs, costlier reinsurance and, in Florida, an outsized share of the country’s lawsuits. Average premiums rose every year, and insurers stopped renewing more homes.

Don't know a word? Press any purple word to see what it means. They're all listed at the bottom of the page.

What happened to prices

Average homeowners premium, change from the year before.

National prices

Each year bigger than the last

2019

+1.8%

2020

+3.1%

2021

+7.6%

2022

+11.3%

NAIC homeowners insurance reports, most common policy form.

18%–43%rise in the average premium after inflation, 2018–2024, by region

96%–216%rise in insurer-initiated non-renewals, by region

NAIC market report, 2026.

Why it happened

Where the risk is, what rebuilding costs, and Florida.

82%more paid on average in the riskiest fifth of ZIP codes than the least risky fifth, 2018–2022U.S. Treasury, 2025, a report the insurance industry disputed

Nearly 30%rise in rebuild costs in five years (step 2)

Lawsuits

Florida, in 2022

14.9%of the country’s homeowners claims

70.8%of its homeowners litigation

Florida Office of Insurance Regulation.

Six Florida property insurers failed that year. A December 2022 law cut the time to report a claim, ended assignment of benefits on new policies and changed attorney-fee rules.

One insurer’s 2026 change

Florida’s state-backed insurer of last resort set an average −8.8% multiperil rate change from July 2026. That is one insurer’s average, not a promise about any policy, and its condo association rates rose.

If you get a non-renewal notice

Your rights, and the order to do things in.

120 daysnotice of non-renewal a Florida insurer must give

45 daysnotice of a renewal price

Florida notice rules (Fla. Stat. 627.4133) as of October 2026. Statutes change; check your own policy.

Ask, then shopThe Consumer Financial Protection Bureau suggests asking the insurer to reconsider, then comparing other insurers. Florida residents can also use FMAP, a free matching service listed by Florida’s Chief Financial Officer.
The last-resort insurer has a ruleIn Florida, at renewal, it can drop a policy if a private insurer offers comparable cover for no more than 20% above its price.

Do not let it lapse on a mortgage

The lender can buy coverage for you, called force-placed insurance. The CFPB: it is “usually a lot more expensive” and “protects only the lender, not you.” You must get at least 45 days’ notice first.

Remember this

A non-renewal notice is a deadline to shop, not a reason to let cover lapse.

Words on this page

Insurer of last resort: A state-backed insurer for homes that private companies will not cover. In Florida, that is Citizens.
Premium: What you pay for the policy, whether you make a claim or not. It can be paid monthly, every six months or once a year.

Next — Step 6 of 6: How do I lower it, and what does bundling do? →