Florida car owners already face some of the highest insurance premiums in the U.S. Recent storms have further driven up prices. Experts warn that President Donald Trump’s tariffs could exacerbate this situation. In 2024, Floridians paid an average of nearly $3,200 annually for car insurance. Without tariffs, premiums were expected to rise to almost $3,500. However, with tariffs targeting steel, aluminum, foreign cars, and car parts, Floridians might pay an average of nearly $4,000 per year by 2026—a 25% increase, according to Matt Brannon, an analyst for Insurify. Factors such as repair costs, influenced by tariffs on key car parts like engines and transmissions, significantly impact insurance rates. About three-quarters of materials in U.S. vehicles come from abroad, making tariffs a major concern. Additionally, Florida’s high insurance rates are driven by hurricane risks, litigation, and fraud. While tariffs have complicated predictions for relief in premiums, analysts watch for potential changes in the Trump administration’s stance.
— new from Tampa Bay Times
