Florida's Hurricane Insurance: Who's Covered?

Hurricane insurance is not a separate policy in Florida, but it is included in standard insurance policies. However, it is not mandatory to have hurricane insurance in the state, even though Florida is the most hurricane-prone state in the continental US.

In Florida, hurricane insurance typically covers wind damage, storm surges, and damage from named storms. However, standard policies often exclude sewer or drain backup, flooding, wind damage, mold growth, and damage to personal belongings.

The average cost of flood insurance in Florida is $781, while homeowners insurance costs $2,625 a year on average. Depending on where you live, separate windstorm insurance may also be required.

Hurricane insurance is included in standard home insurance policies in Florida

In Florida, hurricane insurance is included in standard home insurance policies. This is because hurricane insurance is not sold separately in the state. However, it is important to note that standard policies have certain exclusions, and homeowners are advised to carefully review their policies to understand what is and isn't covered.

While hurricane insurance typically covers wind damage, storm surges, and damage from named storms, standard policies often exclude coverage for sewer/drain backup, flooding, wind damage, mold growth, and damage to personal belongings. For instance, if a hurricane causes sewer backup or flooding, the resulting damage is usually not covered by standard hurricane insurance policies. Similarly, wind damage to the home or mold growth resulting from water damage may not be covered. Standard policies also typically do not cover personal belongings, so furniture, electronics, and other personal items damaged by a hurricane may need to be replaced at the owner's expense.

To ensure adequate coverage, Florida homeowners may need to purchase additional policies or endorsements, such as flood insurance or sewer-backup insurance. It is recommended that residents review their policies and consult with their insurance agents to fully understand their coverage and make any necessary adjustments.

Flood insurance can be purchased through the National Flood Insurance Program or from an insurance agent

In Florida, hurricane damage is not covered by standard homeowners insurance policies. However, hurricane insurance is not sold as a separate policy in Florida; it is included as part of a standard insurance policy. This typically covers wind damage, storm surges, and damage from named storms.

Flood insurance, on the other hand, is a separate policy that can be purchased through the National Flood Insurance Program (NFIP) or from an insurance agent. The NFIP is managed by the Federal Emergency Management Agency (FEMA) and delivered to the public by a network of more than 50 insurance companies and the NFIP Direct. It provides insurance to help reduce the socioeconomic impact of floods, which can cause up to $25,000 in damage with just one inch of floodwater.

Flood insurance is available to anyone living in one of the almost 23,000 participating NFIP communities. It is especially important for those in high-risk flood areas, as homes and businesses with mortgages from government-backed lenders are required to have it. To purchase flood insurance through the NFIP, individuals can call their insurance company or insurance agent or visit FloodSmart.gov/flood-insurance-provider. There is typically a 30-day waiting period for an NFIP policy to go into effect, so it is important to plan ahead.

In addition to the NFIP, flood insurance can also be purchased from private insurance companies that participate in the Write-Your-Own (WYO) program. These companies sell and service NFIP policies through their insurance agents.

Whether purchased through the NFIP or a private insurance company, flood insurance is an important consideration for anyone looking to protect their property and possessions from potential flood damage.

Hurricane insurance doesn't cover damage to personal belongings

Hurricane insurance is not a separate policy but a combination of insurance policies that protect your home from hurricane damage. It is not mandatory in Florida, but it is included in standard home insurance policies. However, it is important to note that hurricane insurance typically does not cover damage to personal belongings.

While hurricane insurance covers wind damage and storm surges, it does not cover damage to personal items such as furniture, electronics, or other possessions. This means that if a hurricane damages your personal belongings, you will likely have to pay for their replacement yourself. Therefore, it is crucial to understand the limitations of your policy before a storm hits to ensure you have adequate coverage for your home and belongings.

In addition to hurricane insurance, you may also need to purchase separate windstorm insurance and flood insurance to ensure complete protection from hurricane damage. Windstorm insurance covers damage caused by high winds, including hurricanes, tornadoes, and other strong winds. On the other hand, flood insurance covers damage caused by flooding, including storm surges and heavy rains.

The cost of hurricane insurance varies depending on factors such as location, coverage amount, and other criteria. The average cost of a home insurance policy is around $1,915 per year, while flood insurance costs approximately $640 to $819 annually. Windstorm insurance can add several hundred dollars more to the total cost.

Hurricane insurance is more expensive in Florida than the national average

Hurricane insurance in Florida is more expensive than the national average. The average cost of homeowners insurance in the US is $1,915 per year, while in Florida, it is $2,625 per year. Additionally, Florida homeowners may need to purchase separate windstorm insurance, which can be costly. The average annual premium for windstorm insurance from the Texas Windstorm Insurance Association, for example, is $2,000.

The higher cost of hurricane insurance in Florida is due to the state's high risk of hurricanes and other named storms. Florida is the most hurricane-prone state in the continental US, and as a result, insurance companies charge higher premiums to offset the increased risk of claims.

The cost of hurricane insurance in Florida can vary depending on several factors, including the location of the property, the value of the home, and the deductible amount. Deductibles for hurricane insurance are typically based on a percentage of the home's insured value, and they can be higher in high-risk coastal areas. For example, a homeowner with a $200,000 home and a 2% hurricane deductible would have a deductible of $4,000.

While hurricane insurance is not mandatory in Florida, it is highly recommended for homeowners in the state due to the high risk of hurricane damage. Florida homeowners can take steps to mitigate the cost of hurricane insurance, such as installing wind-resistant features or enrolling in discount programs like the Florida Property and Casualty Association discount program.

Hurricane insurance doesn't cover sewer or drain backup

Hurricane insurance is not a separate policy in Florida but is included as part of a standard insurance policy. However, it is important to note that standard policies have certain exclusions, and one of them is sewer or drain backup. This means that if your sewer or drains back up due to heavy rains, your hurricane insurance policy will not cover the damages.

While hurricane insurance typically covers wind damage, storm surges, and damage from named storms, it does not cover sewer or drain backup. This exclusion is standard across most insurance providers and policies. The reason for this exclusion is that sewer backups can result from various factors, such as clogged pipes, tree roots, or a broken line, which are typically the responsibility of the homeowner to maintain and repair.

If you are concerned about sewer or drain backup, you may want to consider purchasing additional coverage specifically for this type of event. Some insurance companies offer sewage backup endorsements, also known as water backup or sump discharge endorsements. These endorsements provide coverage for damage caused by sewer backups but do not cover physical damage to the sewer lines themselves.

It is important to carefully review your insurance policy and understand its limitations before a storm hits. That way, you can identify any gaps in coverage and take the necessary steps to fill those gaps, ensuring that you have the protection you need for your home and belongings.

Frequently asked questions