More than 120,000 renters insurance policies written by American Modern Home Insurance Company in Florida are getting a rate cut that took effect Oct. 11 on new policies and renewals. The Florida Office of Insurance Regulation approved an average decrease of 12.8 percent for the company’s HO-4 policies. The regulator did not state a dollar figure.
What the 12.8 percent cut covers
The approval covers HO-4 policies, the standard renters form. The Office of Insurance Regulation counts approximately 121,898 exposures under the filing and describes them in its announcement as more than 120,000 rental insurance policies. The announcement is dated Oct. 2.
The new rates apply from Oct. 11 to new policies and to renewals. That means a renter who already has an American Modern policy sees the lower rate when the policy next renews, and a renter who buys a new policy is priced on the new rates from the start.
The 12.8 percent is an average across the whole book. The regulator says policyholders in more than 30 Florida counties will see average changes between 13.1 percent and 13.9 percent. The highest concentrations are in Orange County, averaging 13.4 percent, and Broward County, averaging 13.8 percent. Some tenants may see larger decreases than the average.
A renter in that group should watch the renewal notice. The lower rate shows up at renewal, and the notice or the declarations page is where the new premium will appear. The regulator’s announcement gives no figure for an individual policy, so the premium on the notice is the only number that settles it.
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Because no dollar savings were published, the cut is easiest to read in percentages. For every $100 of renters premium, a 12.8 percent decrease takes off $12.80. A renter paying $300 a year would save about $38, and one paying $150 would save about $19, if the average held for them.
The county range works out to a narrow band. At 13.1 percent, every $100 of premium drops by $13.10. At 13.9 percent, it drops by $13.90. The 12.8 percent statewide average sits just below that band, so the county averages run a little above the statewide figure.
What an HO-4 policy pays for
Renters insurance protects what a tenant owns, not the building. HO-4 policies cover personal belongings against covered perils such as fire, theft and vandalism. They also include personal liability coverage for injuries in the rented space or damage the tenant causes to someone else’s property.
The landlord’s own property policy handles the structure. A tenant whose apartment is damaged still needs a renters policy to replace furniture, clothing and electronics, and to answer a liability claim. Anyone with an American Modern HO-4 policy in Florida is the group the rate decrease is aimed at.
Part of a wider run of Florida rate cuts
The renters cut is one of several the regulator has announced recently. The office separately announced homeowners rate decreases for four companies, effective at renewal, on Sept. 22. Commissioner Mike Yaworsky said the office is “approving major rate decreases across the board.”
“We are working hard to get rates down for all policies and we will continue to reach out to companies,” Yaworsky said. The statement is a goal, not a promise of a particular saving.
The other side of the market: an insurer that left
Lower rates are one part of Florida’s insurance picture. On Oct. 19, Yaworsky forced American Mobile Insurance Exchange to surrender its certificate of authority after a period of administrative supervision. The company wrote only mobile home policies in Florida.
The regulator found the company in unsound financial condition. Its surplus fell to $15.09 million from $20.98 million a year earlier, and Florida requires $15 million for companies writing residential property. Regulators in other states declined its attempts to move its business, according to the Office of Insurance Regulation.
The trouble was visible for months. In November 2023 the office refused the company’s request to pay $1 million in interest on a surplus note, because the payment would have left its surplus impaired. In March 2024 the company submitted a withdrawal plan and the office placed it under supervision, with trained staff for policyholder calls and approved customer service scripts.
About 8,000 of its policies were transferred to another company. More than 1,100 were canceled, effective May 31 of 2024, just before hurricane season. The office required refunds of unearned premium and surplus contributions to canceled policyholders. Yaworsky said companies that cancel all their policies and want to leave “are not committed to Floridians.”
The two announcements land 17 days apart and describe the two ends of the same market. One shows prices coming down for tenants. The other shows what happens to homeowners and mobile home owners when a small insurer is found in unsound financial condition and leaves.
The state’s own office sits behind both. Florida’s Office of Insurance Regulation publishes approvals and enforcement notices on its website, and its press office can be reached at (850) 413-2515 or press@floir.com.
Is renters insurance the only bill that can drop?
A 12.8 percent cut on an insurance premium is a few dozen dollars a year for most renters. The larger housing bills, power, repairs and property taxes, keep going up with no regulator announcing a decrease.
The rate cut is about insurance; The Benefits Checklist covers a related job, the other household costs. It scans 11 benefit programs, among them heating and cooling help, free weatherization and senior property-tax breaks, with the 2026 income limits and a 50-state phone directory.
See which of the 11 household-cost programs fit with the Benefits Checklist →
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This article was produced with AI assistance and edited for accuracy against the sources linked above.
Warren Cohen is a finance writer based in Phoenix, Arizona, covering personal finance topics including credit, banking, and beginner investing. He earned his degree in business administration from Arizona State University and began his career working in consumer finance, where he gained direct experience with lending and credit systems. He now writes for personal finance websites and fintech platforms, focusing on clear, practical content that helps readers make informed financial decisions.
