Consumer Reports Say This Is The Worst Homeowner's Insurance Company

When it comes to the home, typical home insurance brands include companies like State Farm, which is a mutual company owned by its subsidiaries and policyholders, and publicly traded companies like Allstate and Progressive Insurance. The company rated the lowest by Consumer Reports, however, has a different structure — formed by the Florida State Legislature as a not-for-profit, tax-exempt entity to provide insurance policies for homeowners in the Sunshine State who were denied coverage by other insurance companies.

Consumer Reports rated Citizens Property Insurance Corporation as the worst home insurance company in the country. Conducting a survey of nearly 24,000 homeowners using 28 insurance companies, Consumer Reports only gave Citizens 14 points out of a possible 100. Besides ranking poorly in all categories, to make matters worse for homeowners, Citizens comes with the highest costs, with a typical annual premium just under $3,000. 

NerdWallet examined more than 100 insurance company policies, finding the average premium across the U.S. to be $2,110 in comparison. Moreover, Citizens offers limited choices and frequently raises rates. As yet another challenge, policyholders can't bundle Citizens to get a better deal because the company provides home insurance — and nothing else. In December 2025, out of 90 ratings on Consumer Affairs, 68 gave Citizens only one star out of five.

Although coverage by Citizens can be substandard and expensive, for many Florida homeowners, it's the only insurance option available. Problems are real, with insurance companies no longer covering many things, including homeowners insurance in areas that experience weather-related challenges. In fact, some private insurance companies entirely removed the Sunshine State from their coverage area. 

Another problem: the rising costs of construction materials, partly because of more expensive costs under Trump's tariffs, and partly because of labor bottlenecks, with fewer workers under today's immigration policies. These costs also affect how much American homeowners spend on home repairs, overall, adding to further budgetary pinches. Plus, even when insurance companies offer policies to Florida homeowners, Weiss Ratings reported that many of them often close out damage claims with zero dollars paid out. In 2024, 14 insurers did so with more than half of the claims, while another nine closed out 40 to 50% of claims without paying out a penny.

Florida is transferring some of its Citizens policyholders back to private insurance companies in a "depopulation" effort, with the number of Citizens policyholders significantly dropping from its peak of more than 1.4 million. News4JAX reported in November 2025 that more than 900,000 homeowners had left Citizens, allowed to do so if the private insurance secured premiums within 20% of Citizens' costs. Florida officials said this procedure has helped to stabilize the property insurance market in the state and, many times, even lower premiums for homeowners.