Homeowners in Florida and Louisiana are bracing for some of the steepest insurance premium increases in the nation, according to a new study from Storm Law Partners that links the trend directly to the rising toll of climate?related disasters.
The report paints a stark picture of how geography and weather risk are driving insurance costs to unprecedented levels. In Florida, where hurricanes have caused more than $450 billion in damages since 1980, the average annual premium is projected to soar from $9,462 in 2024 to $15,460 by the end of 2025. In Hialeah, the average homeowner will pay $16,693, the highest in the country.
Louisiana, which has endured repeated hurricane strikes and flooding, saw premiums jump to $10,964 in 2024. By 2025, that figure is expected to reach $13,937, a 27 percent increase. The state’s insurance market has been destabilized by insurer withdrawals, leaving many residents reliant on costly state?backed coverage.
The study also highlights other states facing sharp increases. Oklahoma’s premiums, driven by tornadoes, hail, and wildfire risk, are set to rise from $7,762 to $8,639. California, reeling from record?breaking wildfires, is projected to see a 21 percent increase, with many insurers halting new policies altogether.
These state?level surges are part of a broader national trend. From 2021 to 2024, premiums rose in 95 percent of U.S. ZIP codes, with one in three homeowners facing hikes of more than 30 percent. The national average increase of 24 percent far outpaced inflation, underscoring the role of climate disasters in driving costs.
The report’s data shows that the most expensive states for home insurance are concentrated along the Gulf Coast, where hurricanes remain the most financially damaging natural disaster. But inland states are not immune. Nebraska, Arkansas, and Kansas have all seen double?digit increases tied to tornadoes, hail, and severe wind events.
Storm Law Partners’ analysis warns that these trends are likely to accelerate. By 2035, the U.S. is expected to face even more frequent and severe weather events, putting further pressure on insurers and homeowners alike. Without intervention, the affordability gap between high?risk and low?risk states could widen, exacerbating regional economic disparities.
