Two new property insurers approved to sell in Florida. More coming, regulators say

Ron Hurtibise, South Florida Sun-SentinelSouth Florida Sun Sentinel

Two more property insurers have been approved to serve Florida’s beleaguered homeowner market, the state Office of Insurance Regulation announced.

The office on Friday identified the two new companies in a news release as Incline National Insurance Company, headquartered in Texas, and Florida Insurance and Reinsurance Company, a Florida-domiciled company that Insurance Commissioner Mike Yaworsky said will primarily offer coverage for condominiums and condo associations.

More companies will be announced in the “near future,” Yaworsky was quoted in the release as saying.

The two new carriers are the 13th and 14th to enter Florida’s market since lawmakers enacted reforms in 2022 and 2023 that have decreased financial incentives for policyholders, repair contractors, roofing companies and plaintiffs attorneys to file what insurers contend are “frivolous lawsuits.”

The others are Apex Star Reciprocal Exchange, Mangrove Property Insurance Company, ASI Select Insurance Corp., Trident Reciprocal Exchange, Ovation Home Insurance Exchange, Manatee Insurance Exchange, Condo Owners Reciprocal Exchange, Orange Insurance Exchange, Orion180 Select Insurance Company, Orion180 Insurance Company, Mainsail Insurance Company, and Tailrow Insurance Exchange

New companies, even those formed by existing insurers, start out with clean slates, unburdened by claims and lawsuits that predate the reforms. Many of the new companies build their initial books of business by participating in depopulation of state-owned Citizens Property Insurance Corp. because there are no initial acquisition costs.

As of Sunday, a database of depopulation approvals on the office’s website does not include either of the new companies announced on Friday.

Incline National has been approved to write coverage in Florida for homeowners multi-peril, allied lines, inline marine, workers compensation and private passenger auto. The company, in business for more than 75 years, intends to offer policies statewide, the release said.

In addition to condominiums, Florida Insurance and Reinsurance plans to offer coverage for smaller, multi-tenant office buildings, according to the release. A specialist in reinsurance, or insurance that insurers must buy, the company will offer reinsurance products designed to provide exposure management support, enhance underwriting capacity and optimize capital efficiency, the release added.

The news release also included several statistics that point to stabilization of rates and a return to profitability across the Florida industry.

Companies incorporated and headquartered in the state reported $944 million in net income in 2024, up from $292 million in 2023 and a $741 million net loss in 2022, the release said.

Since January 2024, 27 companies filed for a rate decrease and 41 requested no change or a 0% increase, according to the release. While many states throughout the nation are experiencing rate increases similar to those that have bedeviled Florida homeowners in recent years, Florida led the nation with the nation’s lowest increase of just 1% in 2024, S&P Global reported.

The news release also invited more companies to apply to sell insurance in the state.

“Applications are accepted on a rolling basis, and (the Office of Insurance Regulation) strives to conclude the review process of all complete applications within 60 days of submission,” it said.

Companies can be approved to state insurance companies by raising $2.5 million to $5 million, the office’s website states.

Ron Hurtibise covers business and consumer issues for the South Florida Sun Sentinel. He can be reached by phone at 954-356-4071 or by email at [email protected].