As Florida’s Legal System Abuse Reforms Take Hold, USAA Files Auto Rate Decrease

USAA has filed for a decrease in auto insurance rates in Florida, reflecting improving conditions in the state’s insurance market and the company’s continued focus on taking care of its members. The rate decrease is expected to take effect by May 2026 and will lower auto insurance rates by an average of 7%, resulting in more than $125 million in estimated annual savings for the Association’s Florida members.

Auto insurance rates are influenced by several factors, including claims trends, repair and medical costs, weather-related losses, legal and regulatory conditions, and driving behavior. Recent legislative reforms to curb legal system abuse in Florida are helping stabilize the insurance market, contributing to improved conditions that support more affordable pricing, while safe driving also plays an important role in reducing losses and may lower rates over time.

“Every dollar counts for our active-duty service members, veterans and their families – now more than ever,” said Randy Termeer, USAA P&C President. “This rate decrease reflects improving conditions in Florida’s insurance market, as well as our ability to price competitively while maintaining the financial strength to take care of our members when they need us. Florida leaders have done great work to strengthen the insurance system and support a more stable, competitive market for Floridians.”

USAA reviews rates on a state-by-state basis and takes action when conditions allow. The Association continues to work closely with Florida regulators and state leaders to help improve insurance affordability for our members.

Value of USAA Membership for Florida Members

This auto rate decrease is in addition to USAA’s December announcement to return approximately $3.7 billion in financial rewards in 2025 – the largest amount returned to members in USAA’s 103-year history. As part of that nationwide return, USAA provided more than $160 million in insurance dividends to approximately 600,000 Florida members, putting an average of $200 back into each eligible member’s pocket. USAA returns dividends when the company’s financial conditions allow, and returns in any given year do not reflect future rate actions.

Financial rewards are one way USAA puts its commitment to members into action. Beyond rate actions and financial rewards, USAA helps members reduce risk and avoid losses through education, safety resources and tools that promote responsible driving. This, in turn, helps protect members, reduce claims and supports long-term stability for the membership. USAA also encourages members to take advantage of available safety programs and discounts, including USAA SafePilot®, which rewards safe driving with additional savings opportunities for eligible members.