Market Levels Hold as Activity Eases Into Q4

MONTHLY PREMIUM BREAKDOWN

Policy activity remained strong in October, with 141,193 policies filed, representing a 13% year-over-year increase. However, the average cost per policy declined 14%, bringing total written premium to $1.2B, down 4% from October 2024.

MONTHLY POLICY COUNT BREAKDOWN

Year-to-date, the market has recorded just under 1.46 million policies, a 12% increase, while total premium of $15.1B reflects a modest 1% gain. This trend underscores a competitive market environment, where carriers are writing more policies at lower average values.

A small but notable shift in market composition also emerged this month, with renewals declining by two percentage points and new business increasing by two when compared to October 2024. The change suggests continued appetite for expansion and new coverage opportunities, even as rate softening persists across several lines.

“It feels like we’ve reached the top of the bell curve,” said Mark Shealy, Executive Director of FSLSO. “The market has stabilized after several years of rapid movement, and Florida often serves as the first indicator of where the broader market is heading. The question now is whether we’ll start to see this same trend of tempered premium growth and lower average policy values take hold in other state markets.”

TREND OVERVIEW

Premium and policy activity have followed similar paths through 2025, showing clear seasonality and stabilization after midyear highs. Premiums peaked in June at $2.1B before easing to $1.19B in October, while policy counts reached 174,117 in July and settled near 141,193 for the month.

PREMIUM TREND | OCTOBER 24 - OCTOBER 25

POLICY COUNT TREND | OCTOBER 24 - OCTOBER 25

TOP 10 LINES OF BUSINESS | OCTOBER

October’s results highlight continued movement across several key lines.

Commercial Property remained the top coverage by premium at $258.1M, though total premium fell 24% year-over-year. At the same time, policy count increased 43%, while the average cost per policy declined 47% to $11,513. Commercial Property continues to reflect a softening line, a trend that has persisted for nearly all of 2025.

In Homeowners (HO-3), premium rose 8% with a 24% increase in policy count, while the average cost per policy dropped to just over $5,600. This trend has continued since the repeal of the diligent effort requirement, suggesting that surplus lines continues to provide a residential solution for Florida homeowners.

Among liability coverages, several categories saw notable shifts. Miscellaneous Liability recorded a 68% increase in premium and 138% growth in policy count. While several liability lines reflected monthly decreases in average cost per policy, a year-to-date view of the market, available through FSLSO’s Florida Market Trend Report, shows a gradual upward trend in casualty premiums and policy values across 2025. As property lines continue to soften, casualty-exposed lines are gaining traction, mirroring a broader national trend toward increased liability pricing and exposure.

For additional insights, including top insurers, coverage trends, and detailed premium and policy analyses, visit FSLSO’s Market Data Reports at fslso.com.

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Have questions? Contact us at 800.562.4496, option 1 or email agent.services@fslso.com.