Mangrove Property Insurance enters Florida amid challenging home insurance landscape

Floridians have a new option for home insurance as Mangrove Property Insurance receives approval to offer coverage in the state. Based in St. Petersburg, the startup will provide property and casualty insurance throughout Florida’s 67 counties, using licensed independent agents.

Florida's insurance commissioner has emphasized the importance of managing hurricane risk for the state's residents. Stephen Weinstein, CEO of Mangrove Property Insurance, highlighted their approach: “We’re bringing a wealth of experience to the table, together with unique reinsurance expertise and relationships and a strategy for a new standard of financial strength that will ensure Mangrove is a long-term player in Florida’s homeowners’ market,” he told Realtor.com.

Weinstein explained that the company’s name symbolizes resilience: “Just as mangroves protect Florida’s coasts, together we can make Florida more physically and financially resilient.”

The entry of Mangrove comes at a time when many insurers are leaving Florida due to challenges from hurricanes and litigation. Homeowners in the state face some of the highest premiums nationwide. Data from the U.S. Census Bureau indicates that at least 20% of Floridians pay over $4,000 annually for home insurance.

Realtor.com senior economic research analyst Hannah Jones commented on this situation: “Still-high home prices and elevated mortgage rates mean financing a home purchase is still out of reach for many would-be buyers,” adding that high insurance costs exacerbate this issue.

Recent hurricanes have further stressed Florida's insurance market. In 2024, Hurricane Helene caused up to $48 billion in damage across multiple states, while Hurricane Milton increased total claims above $100 billion for five consecutive years.

Stephen Weinstein pointed out two main challenges: “Florida has historically been a challenging property insurance market because...Florida’s hurricane risk is the most significant insured peril in the world," he said. Additionally, unique legal practices have also impacted the market.

With soaring premiums making regular coverage inaccessible for many, some Floridians are turning to Citizens, a state-run not-for-profit insurer founded by the legislature in 2002 as a "last resort." Currently holding most policies statewide, Citizens may expand windstorm coverage if a recent proposal passes into law by July 1.