USAA Cites Florida Tort Reforms in $500M Dividend to 830,000 Policyholders as Lawsuits Plummet

USAA will pay a $500 million dividend to roughly 830,000 eligible Florida auto policyholders who held coverage between 2023 and 2025. Eligible current policyholders will begin receiving payments on June 15. The average payment will be about $760, with more than a quarter of recipients receiving more than $1,000.

The dividend forms part of nearly $1 billion in total value the company will deliver to eligible Florida members between December 2025 and July 2026. That total includes $160 million in insurance dividends already paid in December 2025, $250 million in savings from two auto rate filings that cut Florida auto rates by an average 14 percent, and the new $500 million dividend.

About half of USAA's Florida policyholders are expected to see reductions in their six-month auto premiums in 2026.

USAA President and CEO Juan C. " The insurer credits Florida's 2023 tort reforms for the reduction in its legal costs. Those reforms shortened the statute of limitations to two years, eliminated phantom damages, and ended one-way attorney fee awards.

Auto glass lawsuits in Florida fell from about 24,000 in the second quarter of 2023 to roughly 2,600 in the same period of 2024, according to a Milliman white paper cited by USAA. Florida had ranked second nationally for nuclear verdict payouts from 2009 to 2022 but dropped to tenth by 2024.

Insurance litigation filings fell 23 percent year over year from 2023 to 2024 and remained below pre-2018 levels, according to a 2025 statement from Florida Gov.

Ron DeSantis' office. 46 billion in 2023, according to Florida's Office of Insurance Regulation.