Florida Insurance Zero-Payment Claims | Property Insurance Coverage Law Blog

A new report, 14 Florida Insurers Closed Over Half of Homeowner Damage Claims with Zero Payment in 2024, ¹ has revealed that 14 Florida insurers closed over half of homeowner damage claims without making any payment in 2024. For those of us who closely follow Florida’s insurance market, this headline is alarming but, unfortunately, not surprising. Homeowners who have dutifully paid their premiums expect help when disaster strikes, yet a growing number are finding themselves left without the support they need.

At first glance, these numbers paint a bleak picture. They suggest a system where policyholders are forced to navigate the difficult aftermath of a loss only to have their claims denied or closed without compensation. In many cases, these homeowners face significant out-of-pocket expenses or are left without the means to repair or rebuild. The emotional and financial toll is substantial, particularly in a state where natural disasters are a fact of life.

However, to have a frank and balanced discussion about this issue, we must also recognize that not every “zero-payment” claim tells a story of injustice. As I noted in a previous post, A Frank Discussion About Florida’s Insurance Crisis, Including Admissions About Why Current Claims Statistics Do Not Indicate the Sky Is Falling, some of these statistics may be skewed because flood damage is not covered under standard property insurance policies. Homeowners who experience flooding but file claims under their property insurance might understandably be denied because that type of loss falls outside the policy’s coverage. In such cases, the insurer’s hands are tied, even though the denial feels deeply unfair to the homeowner.

Still, the flood exclusion alone does not explain why so many claims across so many companies are closed without payment. It would be irresponsible to dismiss this data as merely a technical anomaly. The broader problem is that Florida’s insurance market has become increasingly hostile to policyholders. Insurers, pressured by mounting losses and regulatory shifts, are often more focused on managing their risk than fulfilling their promises. While combating fraud and maintaining financial stability are legitimate goals, the pendulum seems to have swung too far against the interests of consumers.

When more than half of claims are closed without payment, it reflects a serious imbalance in the marketplace. Trust in the insurance system erodes when paying customers are routinely denied help in their times of need. We cannot afford to normalize this trend or excuse it away with statistics. Real people are being hurt.

Florida’s insurance crisis is complex, and there are no easy fixes. Insurers are operating in a challenging environment, but policyholders should not be made to bear the brunt of that reality alone. As we continue to debate solutions, we must ensure that the voices of homeowners — the very people insurance is meant to protect — are not lost in the conversation. Zero-payment claims are not just numbers; they are a symptom of a deeper problem that demands urgent and honest attention.

Thought For The Day

“Fairness is not an attitude. It’s a professional skill that must be developed and exercised.”
— Brit Hume

¹ 14 Florida Insurers Closed Over Half of Homeowner Damage Claims with Zero Payment in 2024, Weiss Ratings, Apr. 3, 2025.