When Florida lawmakers enacted sweeping tort reform legislation in 2022 and 2023, the stated objectives were to reduce excessive litigation, stabilize the insurance market, discourage abusive legal practices, and restore greater predictability to civil litigation. The legislation sparked vigorous debate. Supporters argued that Florida's litigation climate had become an outlier that drove insurance costs and discouraged insurers from operating in the state. Critics countered that the reforms would limit access to the courts and shifted the balance too far in favor of defendants and insurers.
Nearly three years later, enough data has emerged to begin evaluating whether those reforms are accomplishing their intended purpose. While the long-term impact on insurance premiums and consumer costs will continue to develop over time, early indicators suggest the reforms are producing meaningful changes in Florida's litigation environment.
Litigation Continues to Decline
One of the principal goals of Florida's tort reform package was to reduce the volume of insurance-related litigation. Early data indicate that objective is being realized. According to the Florida Office of Insurance Regulation (OIR)[i], residential and insurance-related lawsuit filings declined approximately 23% from 2023 to 2024. That trend continued into 2025, with filings dropping an additional 25% during the first half of the year compared to the same period in 2024.[ii] [iii]
In addition, according to OIR's most recent report published in July 2026, the number of homeowners insurance claims dramatically decreased from 79% in 2020 to 41% in 2025.[iv] The report cited recent Florida tort reform as the catalyst for the decline. Perhaps more significant than the decline itself is its consistency. Rather than reflecting a temporary adjustment following enactment of the legislation, the data demonstrates a sustained downward trend.
Florida is No Longer the National Outlier
For years, Florida occupied a unique position in the national insurance litigation landscape. Although the state represented only a fraction of homeowners insurance claims nationwide, it generated a disproportionate share of the country's insurance lawsuits. Recent figures suggest that imbalance is beginning to change. Florida's share of homeowners insurance lawsuits nationwide has reportedly declined to approximately 41.3%, a substantial reduction from 73% just one year earlier.[v]
Although Florida still accounts for a significant portion of insurance litigation nationwide, the state's outsized role appears to be diminishing. The shift is particularly noteworthy because one of the Legislature's primary concerns was that Florida's litigation climate had become disconnected from the rest of the country. The emerging data suggests that Florida is moving closer to national norms.
Nuclear Verdicts Are Becoming Less Common
The reforms also sought to address growing concerns regarding extraordinarily large jury verdicts. Nuclear verdicts, generally defined as jury awards exceeding $10 million, have received increasing attention nationwide because of their impact on settlement values, insurance reserves, and litigation strategy. Prior to reform, Florida consistently ranked among the nation's leading jurisdictions for these exceptionally large awards.
Recent national analyses indicate Florida has fallen from second to tenth in the country for nuclear verdicts.[vi] While a single year's ranking does not establish a permanent trend, the change is notable and may reflect the cumulative effect of statutory reforms, including modifications to comparative negligence, evidence relating to medical expenses, and bad faith litigation.[vii] For businesses evaluating litigation risk, a more predictable environment improves the ability to assess exposure and encourages earlier resolution of disputes.
Signs of a More Stable Insurance Market
The reforms were never intended solely to reduce lawsuit filings. The broader objective was to improve stability within Florida's insurance market. Although homeowner remain elevated, several indicators suggest the market is becoming healthier. New insurers have entered the Florida marketplace, existing carriers have expanded operations, and regulators have reported increasing competition among property insurers. Several insurers have also sought rate reductions or smaller rate increases than previously anticipated. The most recent July 2026 OIR report found the following:
- Since 2024, 44 insurers filed for rate decreases.
- 48 filed for 0% changes.
- Average homeowners' premiums with wind coverage decreased in 51 of 67 counties.
- Citizens Property Insurance Corporation reported 293,465 policies in force as of June 5th, which is a decrease from approximately 1.2 million at the close of 2022.
- Preliminary 2026 reinsurance data showed nearly half of insurers had risk-adjusted pricing reductions of 15-25%.
Market stabilization does not occur overnight. Insurance premiums are influenced by multiple years of claims experience, catastrophic losses, inflation, and reinsurance costs. Consequently, any litigation-related savings would reasonably be expected to emerge gradually rather than immediately following statutory reform.
The Practical Impact of Reform
The significance of Florida's reforms extends beyond the statistical decline in filings. Lower litigation volume allows insurers and businesses to devote greater attention and resources to claims presenting genuine disputes rather than managing large inventories of marginal cases. Reduced exposure to nuclear verdicts improves the ability to evaluate settlement opportunities using more predictable risk assessments. In turn, businesses benefit from greater certainty in forecasting litigation expenses and insurance costs. The reforms have also altered litigation strategy by encouraging earlier evaluation of liability, emphasizing proportional responsibility, and narrowing opportunities for litigation tactics that previously increased defense costs without necessarily improving claim outcomes.
Looking Ahead
Although it remains too early to know the long term impact, the available evidence increasingly suggests Florida's 2022 and 2023 tort reforms are moving the state's civil justice system in the direction lawmakers intended. Residential and insurance litigation continues to decline. Florida no longer dominates homeowners' insurance litigation to the extent it once did. Nuclear verdicts rankings have improved. The insurance marketplace shows increasing signs of stability and competition.
These developments do not end the conversation surrounding tort reform, nor do they resolve every challenge facing Florida's insurance market. They do, however, provide meaningful evidence that comprehensive civil justice reform can influence litigation behavior and improve predictability within the legal system. As additional data becomes available in the coming years, Florida's reforms may serve as an important case study for the jurisdictions considering similar changes.
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[i] Florida Office of Insurance Regulation. Property Insurance Stability Reports. (January 2026 & July 2026).
[ii] Florida Legal Reforms: Litigation Falls, Consumer Savings Rise, and Lawmakers Face Another Important Choice. U.S. Chamber of Commerce. Institute for Legal Reform. (Feb. 4, 2026).
[iii] Rosanes, Mark. Florida Homeowners' Lawsuit Share Drops to 41% After Reform Push. Insurance Business. (July 23, 2026.)
[iv] Florida Office of Insurance Regulation. Property Insurance Stability Reports. (January 2026 & July 2026).
[v] Rosanes, Mark. Florida Homeowners' Lawsuit Share Drops to 41% After Reform Push. Insurance Business. (July 23, 2026.)
[vi] R&I Editorial Team. Tort Reform Gains Ground as Nuclear Verdicts Reshape Litigation Landscape. Risk & Insurance. (July 31, 2025).
[vii] Florida House Bill 837 (2023).
