What you need to know about buying car insurance in Florida

There are a couple of things you need to know about car insurance in Florida.

First, it’s expensive. Average full coverage in the state is $2,694 a year, well above the national average of $1,895 a year.

Second, Florida is a risky place to drive, which is why the rates are so high. There are 17.1 fatal crashes per 100,000 people in Florida compared to 12.9 nationwide, according to the most recent data from the Insurance Institute for Highway Safety (IIHS).

“Florida’s roads are amongst the most dangerous highways in America,” says Mark Friedlander, corporate communications director for the Insurance Information Institute (Triple-I), an industry trade group. “It’s essential to have adequate coverage for financial protection from accidents and other road hazards.”

Indeed, getting the right Florida car insurance policy is vital given the high risk of an accident and the high cost of paying for one.

Granted, you can find cheap rates, especially for policies that meet the state minimum liability coverage of $10,000 per person and $20,000 per crash for bodily injury, in addition to the $10,000 in property damage liability and $10,000 in personal injury protection. State minimum insurance runs about $83 a month in Florida on average.

However, car insurance experts advise against getting minimum insurance. Most recommend full coverage with higher liability limits – which not only covers the damage you cause but also helps you repair or replace your own vehicle after an accident. Average full coverage insurance in Florida is $224 a month. But State Farm, Nationwide, Geico and Travelers all offer full coverage insurance that averages less than $200 a month.

Our guide below explains more about car insurance in Florida, including the rules governing car insurance in Florida, how much you need to purchase and how to get the best deal on a policy.

Key highlights

• Car insurance in Florida is expensive. Drivers pay an average of $2,694 annually for coverage, compared with a U.S. average of $1,895.
• Drivers in North Miami Beach pay the most on average for auto insurance, based on ZIP codes: $297 per month.
• Drivers in Paxton pay the least on average for auto insurance, based on ZIP codes: $191 per month. 
   

Understanding car insurance requirements in Florida

You cannot register a vehicle in Florida without first showing proof of property damage liability and personal injury protection (PIP) insurance.

Property damage liability coverage pays for damage you or someone else driving your car causes to another person’s property.

Personal injury protection is a no-fault coverage that pays for 80% of up to $10,000 in all necessary and reasonable medical expenses for your injuries resulting from a crash.

For each of these types of insurance, you must carry at least $10,000 of coverage.

Your coverage must come from an insurer licensed to sell policies in Florida.

Additionally, if you are involved in an accident where you are charged with a moving violation and there are injuries reported, you must have been carrying liability coverage in the amount of $10,000 per person and $20,000 per crash for bodily injury in addition to the $10,000 in property damage liability and $10,000 in personal injury protection.

Some individuals may be eligible to self-insure rather than buy insurance. This means they will be financially responsible for all damage they cause in an accident.

For the vast majority of Floridians, purchasing adequate levels of car insurance coverage is the best way to protect themselves.

Average cost of car insurance in Florida

It costs more to insure a car in Florida than it does in many other parts of the country. The average monthly cost for full coverage is about $224. That compares to an average monthly cost of just $158 across the U.S.

The rates below were collected from auto insurance comparison site CarInsurance.com and its data partner Quadrant Information Services for single, 40-year-old male and female drivers of a 2023 Honda Accord LX with a good insurance score and no violations on their record for state minimum, 50/100/50 standard liability, and a full coverage insurance policy with liability limits of 100/300/100 and a $500 comprehensive and collision deductible.

How to find cheap auto insurance in Florida

The best way to get the cheapest car insurance is to compare quotes from a number of insurance providers. Each insurance company has its own criteria for setting rates, and it is possible that your insurance profile and coverage needs will be a better fit for one provider than another.

“Auto insurance is the most competitive insurance market in the U.S.,” the Triple-I's Friedlander says. “If you decide to shop the market, we recommend getting at least three quotes, as rates can vary significantly amongst insurers.”

Also, look for discounts that auto insurance companies offer. Many insurers offer price breaks for those who bundle various types of insurance policies.

Others might offer reduced premiums to those who agree to have their driving habits monitored electronically.

"Allowing an insurance carrier to review driving patterns seems to be trending and providing savings to the consumer," says Brian Chapman, an independent insurance agent and owner of Chapman Insurance Group, which is based in southwest Florida.

If you agree to this type of review, the monitoring is typically done through an app on your phone. The app sends information about your driving habits to your insurer.

Generally, after a period -- often 30 days -- your insurer will review the information and give you a discount that could be as high as 30%.

"This seems to be the single most cost-effective item today to lower premiums," Chapman says, although he adds that some drivers might be reluctant to participate if they have privacy concerns.

Finally, increasing your deductible usually results in lower premiums. If you take this step, make sure you can afford to pay the deductible should you need to file a claim.

Car insurance rates, by company, in Florida

Insurers base their rates on your age, your driving history, where you live, the car you drive and other factors. But they all weigh these factors differently, which means the rates one insurer offers could be a lot less than the offer from another.

Below is a look at the average rates from some of the insurers doing business in Florida. Note that Farmers Insurance announced in July 2023 that it would be pulling out of the Florida car insurance market and would not be renewing existing policies or writing new ones. If you are a Florida resident and are searching the Farmers website for a free auto insurance quote, you will be redirected to Bristol West, a Farmers subsidiary. 
 

Comparing car insurance quotes in Florida

The national average for auto insurance is $158 a month, or $1,895 a year, which is 30% below the average rates in Florida.

But, as mentioned above, several factors impact how much you pay for car insurance in Florida. They include your age, where you live and your insurance credit score.

Here are some examples of how these factors can impact your car insurance rates:

Florida car insurance cost by city

Of the 10 largest cities in Florida, the state’s capital city of Tallahassee has the lowest monthly car insurance cost, at $211.

Here are the average car insurance costs in the 10 largest cities in Florida.

Frequently asked questions

How can I save on car insurance in Florida?

Perhaps the best way to save on car insurance in Florida is to shop around and compare quotes from several providers. Each insurance company has its own criteria for setting rates, and it is likely that your personal insurance profile will be a better fit with one insurer than with others.

By shopping around, you are more likely to find exactly the type of coverage you need at the best possible price.

Raising your deductible and looking for discounts are both good ways to lower your car insurance costs.

Is Florida a no-fault state?

Yes, Florida is a no-fault auto insurance state, which means your injuries in an accident are covered by your insurance company regardless of who is at fault.

There are advantages and disadvantages to this arrangement. No-fault insurance reduces the waiting time on injury claims by having your insurer cover your injuries regardless of who is at fault. However, the system also lends itself to fraudulent claims. A 2023 report from the Insurance Research Council found that Florida had higher than average rates of auto insurance fraud (35%) than the national average (19%) and a higher incidence of attorney involvement.

It’s important to note that no fault doesn’t mean no one is found at fault. Rather, it means that fault has no bearing on which insurance company pays for injuries. Property damage is not included in no-fault coverage; if you are at fault, you are responsible for damage to the property of others.

Why is car insurance so expensive in Florida?

Car insurance in Florida can be expensive for several reasons. According to the Insurance Research Council, nearly 16% of drivers in Florida are uninsured. That fact drives up costs.

In addition, Florida is a no-fault insurance state. This type of coverage tends to increase car insurance costs. As noted above, no-fault insurance rules result in more cases of fraud as drivers try to game the system by faking or exaggerating injuries. Some people do this repeatedly.

"Unfortunately, the new winning lotto ticket for some is a car accident," independent insurance agent Chapman says.

He notes that some attorneys push the potential for cashing in on an accident in their advertisements on billboards and in TV commercials.

As a result of all these higher costs, insurers tend to charge more for coverage.

"Florida litigation has reached an all-time high, and trying to price an auto insurance product in today’s market is very difficult," Chapman says.

What is an FR-44 and do I need one?

An FR-44 form, sometimes called a certificate of financial responsibility, is not car insurance. Rather, it is a statement filed on your behalf by your insurer in the event that you are convicted of a serious moving violation, such as DUI, or have otherwise had your license suspended. The form is filed with the state department of motor vehicles.

An FR-44 certifies that you have a valid policy that meets state-mandated coverage amounts for liability insurance. Not all carriers will file an FR-44 form, so you may need to switch insurers in order to find a company that will do so.

FR-44s are only used in Florida and Virginia. Most other states use a similar certification called an SR-22. 

Methodology

Editors collected rate information from auto insurance comparison site CarInsurance.com and its data partner Quadrant Information Services for single, 40-year-old male and female drivers of a 2023 Honda Accord LX with a good insurance score and no violations on their record for state minimum, 50/100/50 standard liability, and a full coverage insurance policy with liability limits of 100/300/100 and a $500 comprehensive and collision deductible.

We analyzed more than 53 million quotes, more than 34,000 ZIP codes and 170 insurance companies nationwide. 

Note: 100/300/100 means up to $100,000 for the medical bills of those you injure, up to $300,000 per accident for bodily injury liability for all persons injured in one accident, and $100,000 to repair other drivers’ cars and property that you damage.