Florida Startup Stand Insurance Launches Model Tying Home Hardening to Lower Premiums

A new entrant in Florida's challenging property insurance market is testing an innovative approach that could reshape how home insurance works in disaster-prone regions. Stand Insurance Exchange, a reciprocal insurer led by Dan Preston — the former head of tech-focused auto insurer Metromile — launched in the Florida market with a business model built around proactively reducing risk rather than simply pricing or avoiding it.

Preston frames the innovation around a fundamental observation: historically, insurers facing risky areas have had just two main tools — exit the market altogether, or raise premiums. Stand is pursuing a third path: working closely with property owners to mitigate risk and thereby reduce both claims and premiums. The carrier coordinates home-hardening work, connecting homeowners with contractors and installing sensors. The company has negotiated discounted rates with Florida contractors to install roof-to-wall connections designed to prevent roof rafters from being lifted off homes during high winds — a critical vulnerability in hurricane events. Stand may eventually offer financing for retrofit costs, though this would be done through finance companies with existing regulatory approval and billed separately rather than added to the premium.

Stand is one of at least 20 new insurers to enter the Florida market since the state's historic 2022 legislative reforms aimed at stabilizing a property insurance market that had been in crisis. The carrier was granted a certificate of authority by the Florida Office of Insurance Regulation in September 2025, followed by approval to take out 25,000 policies from Citizens Property Insurance Corporation, the state's insurer of last resort. So far about 1,000 takeouts have been completed, which Preston said is enough to begin operations.

The mitigation-focused model is the latest innovation from Florida's competitive market, which has become a testing ground for new approaches. Other Florida insurers use managed repair programs (requiring homeowners to use designated restoration contractors), while some offer premium rebates for claims-free homes. Insurers nationwide increasingly provide premium discounts and credits for mitigation and property-protection efforts. The approach aligns with the growing industry recognition — echoed in research like Triple-I and Munich Re's RiskScan studies — that resilience investment may be the most sustainable way to address widening protection gaps in catastrophe-exposed areas.