Having homeowners insurance is crucial if you plan to buy a house or condo in Florida. In fact, when you buy a home, most lenders will demand you to have a policy. In the event of a disaster or other covered loss, homeowners insurance (also known as home insurance) can protect you, your belongings, and your property. There are a lot of homeowners insurance in florida to pick from and State Farm Homeowners Insurance in Florida is one of them. In this article, we have a list of the best cheap homeowners insurance in florida that you can choose from. Why not dive in now?
Best Homeowners Insurance in Florida
You might have been thinking of how to get the best homeowners insurance in Florida as a homeowner. Worry not! Here are some of the best homeowners insurance in Florida:
#1. Liberty Mutual
Liberty Mutual is another well-respected national insurer, sharing the same A rating for financial strength as State Farm although being in business for over a century less. There is, however, the fact that its J.D. Power score is lower, which may indicate lower levels of customer satisfaction.
Liberty Mutual’s hurricane deductible and optional replacement cost coverage for belongings were both attractive features given the frequency with which tropical storms batter Florida. This means that the cost to replace an item that has been destroyed by a covered peril will be based on its current market value rather than its depreciated cost.
Liberty Mutual provides a variety of savings options that are unavailable from competing companies. Staying claim-free for five years or more or switching to paperless coverage are two ways to lower your monthly premium payments. It is one of the best homeowners insurance in Florida that you can opt for.
Pros
- 10% discount for purchasing policy online
- Inflation protection add-on that adjusts coverage each year to account for inflation
- Hurricane coverage included in standard coverage
Cons
- Social Security number required for quote
- More complicated quoting process than competitors
#2. Chubb
Chubb is a good alternative for customers who need to insure expensive possessions because its policies come with several useful extras. It is one of the best homeowners insurance in Florida that you can go for. Customers on a tighter budget may be put off by Chubb’s higher-than-average premiums.
Pros
- A++ (Superior) AM Best financial strength rating
- Generous coverage options
- Multiple policy options for household insurance needs
Cons
- Coverage typically costs above national averages
- Below-average rating from J.D. Power for home insurance
- Online quotes are unavailable
#3. Allstate
When it comes to homeowners insurance in Florida, Allstate is one of the strong recommendations due to its high ratings in customer service, coverage, and discounts. Since its founding in 1931, Allstate has grown to become a national leader in numerous lines of insurance, including homeowners and renters policies. The BBB gave it an A- for customer service, and AM Best gave it an A+ for financial strength.
Local insurance agents are available around the clock to assist policyholders, and there is a user-friendly website where they can file claims and view policy details. Allstate provides coverage for your house, belongings, legal responsibility, and medical expenses for visitors, plus optional coverage such as a rebate for energy-saving home improvements.
Pros
- Offers private flood insurance
- Features Claim Rateguard, a policy rider that locks in your rates, even if you file a claim
- Has valuable online resources, such as a personal inventory calculator tool
Cons
- Coverage is not as customizable as some companies’ plans are
- Sometimes quotes higher rates than online-only competitors
#3. Progressive
Progressive provides coverage for homes, cars, and people. AM Best has given Progressive its highest possible grade of A+ Superior, indicating that the company is in a superb financial position. Residents of Florida may appreciate Progressive’s flexible bundling options, which can save them money.
Bundling home and car insurance with Progressive might save you up to 4% on your premiums, according to the company. Discounts for hiring Progressive-recommended contractors and repair experts are among the many options available from Progressive. It is also a cheap homeowners insurance in Florida.
Pros
- Provides more generous discounts for bundling than some competitors
- Is a trusted name in the insurance industry, with high financial ratings from AM Best
- Has 24/7 customer service availability
Cons
- Has fewer policy endorsements than other providers in this review
#4. Florida Peninsula
Coastal homeowners can take advantage of Florida Peninsula Insurance’s special services and knowledge. However, with an average yearly house insurance rate of $2,437 and a higher-than-average proportion of customer complaints, the Florida Peninsula is only ordinary in terms of cost. Homes in the Florida Peninsula that are in close proximity to the coast might get good insurance that includes protection against water backup, a regular effect of hurricanes.
Homeowners on the Florida Peninsula can purchase private flood insurance with coverage of up to $2 million. Florida Peninsula’s high limits should be enough for all except the most costly residences in Florida, as the National Flood Insurance Program (NFIP) caps flood coverage at $250,000. It is also a cheap homeowners insurance in Florida.
#5. Amica
Although Amica is smaller than some of the other insurers on this list, it has the greatest customer satisfaction rating according to the J.D. Power 2022 survey. This indicates a staggeringly high level of contentment on the part of claimants. Amica has two types of house insurance coverage. It provides two levels of coverage, the first of which includes the basics like home and possessions insurance as well as liability protection through its Standard Choice program.
There is also dividend insurance available that will refund a portion of your yearly payment. They have a higher premium, but typically return between 5 and 20 percent, helping policyholders save money over time. It is one of the best homeowners insurance in Florida that you can go for.
Pros
- Has the highest J.D. Power rating on this list
- Offers tool to help policyholders find qualified contractors
- Provides deep discounts for bundling home and auto
Cons
- Doesn’t offer dividend policies in all states
- Doesn’t have online quotes in Florida
#6. State Farm Homeowners Insurance in Florida
State Farm Homeowners Insurance in Florida has been around for a century, and it has an A rating from AM Best, so policyholders know they will be paid if they file a claim. Insurance policies are drafted by a team of experts that provide individualized service to each client. It is one of the best homeowners insurance in Florida that you can go for. State Farm Homeowners Insurance in Florida offers a wide range of endorsements that can be added to their already-affordable basic policy. The residence amount can be increased by 25% above the cost to rebuild the home thanks to the additional dwelling add-on.
If a natural calamity like a hurricane or earthquake drives up local construction costs beyond your replacement cost estimate, this is a huge safety net. It is also a cheap homeowners insurance in Florida.
Pros
- Vast online library of educational resources
- 360Value Tool helps determine the accurate estimated replacement cost
- A strong network of local agents
Cons
- Fewer discounts than many competitors
- Online quote unavailable in Florida
#7. Security First
Security First is a Florida-exclusive insurance policy designed to safeguard policyholders against natural disasters like hurricanes and floods. Although Security First is not as large as some of the other providers we looked at, the BBB has awarded it an A+ rating, and Demotech has given it an A for financial stability.
Because it operates just in Florida, the company can offer homeowners in Florida specialized coverage and prompt, personable service. It is one of the best homeowners insurance in Florida that you can go for. Security First provides a hurricane deductible that can be as low as 2% of your home insurance premium or as high as 10%. Many Floridians appreciate the fact that Security First offers separate flood insurance policies.
Pros
- Specializes in service to Florida
- Provides several discounts often excluded by other providers, such as a gated community discount
- Has unique additional coverage for misplaced personal items
Cons
- Premium may be higher than average in South Florida
- Does not provide 24/7 customer support, though you can file claims any time
What Does Homeowners Insurance in Florida Cover?
If you want to create a policy that fits your needs, you need to know what is covered by your Florida homeowner’s insurance. As the state that has traditionally had the most hurricane landfalls, Florida is a common target for these storms. Florida residents should think about the cost of repairs after natural disasters like storms and flooding when deciding on an insurance policy. The following things are what homeowners insurance in Florida covers:
#1. Damage Caused by Water
Even inland areas are not safe from the destructive effects of water when heavy rains and storm surges combine. A regular home insurance policy does not include coverage for flood damage, so you will likely need to invest in a special flood insurance policy.
#2. Wind
Costs associated with wind damage in Florida can be very high. Windstorm coverage is a standard feature of homeowner’s insurance, and in Florida, insurers are mandated to provide protection against hurricanes and tropical storms. However, you’ll have to pay an additional deductible for hurricanes caused by named storms, usually between 1 and 5 percent of your home’s total coverage.
#3. Fire
The electrical system in your home could be damaged by a hurricane or other severe weather event, increasing the risk of a fire. The good news is that most homeowners insurance policies cover fires that are unintentional, but you still need to be sure you have enough insurance to replace your home and your things if disaster strikes.
Factors That Affect the Rate of Homeowners Insurance in Florida
The following are the factors that affect the rate of homeowners insurance in Florida:
#1. Your Location
The cost of homeowner’s insurance can vary widely from one location to the next. Local building costs and dangers, such as hurricanes, play a significant role in establishing insurance premiums. The proximity of your home to police and fire stations is another issue that may be taken into account by insurance carriers.
#2. Replacement Cost
What is known as “replacement cost” is the amount of money needed to rebuild your home using the same materials. Your home’s square footage, number of bedrooms and bathrooms, roofing material, age, and local building prices all factor into this estimate.
#3. Age/Condition
Your home’s age and general condition will also be factored in by the insurance company when determining your premium. Replacement costs tend to be higher for older homes since they were often built using less common building materials, electrical wiring, and plumbing systems. Damage to older homes, especially their roofs, is more common due to the passage of time.
#4. Case Histories
Insurers may view a policyholder with a history of house insurance claims as a higher risk. Insurance premiums could go up if you have a claim history. On the other hand, those who have never filed a lawsuit may be entitled to savings or a deductible waiver.
#5. Credit History
Insurance premiums for your house can be affected by both your claims history and credit history. Rates may be more significant for those with credit scores of 580 or lower than for those with higher scores.
#6. Remodeling Your Home
The worth of your home, as well as its cost to replace it, can increase after renovations. It is important to inform your insurance of any home improvement work you have done or plan to do to your property.
#7. Dog Breed
When you apply for a homeowners policy, most insurers will want to know if you have any pets. It’s possible that your premiums may go up or that your dog won’t get covered at all if it’s categorized as a high risk for aggression or bite injuries. Find out which dog breeds are considered high-risk by your insurance company.
#8. Policy Framework
Your premiums can vary widely depending on the level of protection you select. Increasing your home insurance or personal property coverage can affect your premiums. While raising your deductible can reduce your premium payments, it will also increase your out-of-pocket costs in the event of a claim.
#9. Security Features
Your likelihood of filing a claim decreases as home security improves. Therefore, if you equip your home with security measures, you may be able to negotiate more favorable premiums. Insurance premium discounts are available for homeowners who install safety features including alarm systems, smoke detectors, sprinkler systems, impact- and wind-resistant roofing, and deadbolt locks on their homes.
#10. Discounts
Discounts on house insurance coverage are offered by all the companies. You can save money by bundling your vehicle and home insurance plans with several of these providers.
How to Get the Best Cheap Homeowners Insurance in Florida
Homeowners insurance in Florida can be difficult to navigate. It’s not easy to find home insurance at all, much less affordable coverage that provides comprehensive protection. Prioritizing coverage means having reasonable expectations about how much Florida homeowners insurance will cost before you start searching. The average cost of homeowners insurance in Florida is expected to rise further as insurance firms continue to deal with the financial fallout of excessive litigation, Hurricane Ian, and inflation’s considerable impact on the cost of construction supplies and labor. However, there are methods you can employ to acquire homeowners insurance in Florida and possibly reduce your premiums:
#1. Commence Your Shopping Early
Shopping for home insurance may be easier if you reside in a lower-risk location, such as the interior, as opposed to a higher-risk one, such as the coast. If you have more than one choice for home insurance, give yourself plenty of time to compare rates from each before making a decision. By doing this, you can potentially save money by taking advantage of any pre-sale deals.
#2. Learn What Kind of Insurance You’ll Need
Think carefully about the extent and nature of protection you’ll require. Insuring your home for its RCV rather than its market worth is important because the latter can be significantly different from the amount needed to reconstruct your home depending on the state of the housing market at the time of the loss. Look around your house at the things you own. Do you have newer kitchen cabinetry or have you upgraded other permanent fixtures? Do you want to be sure your engagement ring is protected? Have you reduced your living space? Get the right insurance at the right price by consulting with your broker.
#3. Utilize Discounts
The easiest approach to cut your home insurance cost is to take advantage of the discounts offered by most insurance companies. Common examples of insurance discounts include bundling multiple policies with the same provider or going a set amount of time without filing a claim. Florida makes it difficult to avoid filing a claim, but there are ways to save money still, such as going paperless with your bills and policies or setting up an automated payment plan.
#4. Increase Your Deductible
The deductible on your home insurance policy is the portion of a claim that you agree to pay yourself. You can reduce your premium by making the insurance company pay more out of pocket by raising your deductible. Before making the switch, talk to your agent to be sure you can afford the higher deductible. Keep in mind that there is no single insurance provider. In most policies, you can choose between 1, 2, and 5 percent deductibles depending on the coverage you’re interested in. The difference between 1% and 2% can be several thousand dollars.
How Much Does Homeowners Insurance in Florida Cost?
Florida homeowners insurance for a $250,000 dwelling coverage policy costs an average of $1,981 annually. The average annual cost throughout the country is $1,428 for the same level of coverage, so this is a 39 percent increase. Remember that your rate will be based on your rating profile, which includes things like your home’s location and characteristics, your claims history, your preferred insurance provider, and the types and amounts of coverage you opt for.
Is It Hard to Find Homeowners Insurance in Florida?
It’s becoming increasingly difficult to find reasonably priced home insurance in Florida as many insurers leave the state, reduce their coverage, or both.
Will My Florida Insurance Policy Be Canceled?
Except in extreme circumstances (such as cases of fraud, excessive claims, or increasing risk), homeowners’ insurance policies are rarely terminated. However, the dangers of insuring a property in Florida have been rising. The year 2022 marks the insolvency of four Florida homeowners insurance providers: Avatar, Lighthouse, Southern Fidelity, and St. John’s. There are more than 250,000 homeowners insured by the firms in Florida. FedNat also stated that they will be canceling 68,000 insurance.
Although you are entitled to advance notice so that you can shop around for new insurance, it never hurts to take matters into your own hands. If you’re afraid of losing your insurance coverage, contact either your agent or the company’s customer service department.
Will the Cost of Homeowner’s Insurance Increase?
Homeowner’s insurance premiums do, in fact, often increase year to account for inflation and heightened risks. In addition, storms have been causing more and more damage to Florida homes, which has led to a gradual rise in premiums. While the national average increase in house insurance premiums over the same time period was 11%, the increase in Florida was 33%. If you receive a notice that your premiums will be increasing, now is an excellent time to begin looking for new insurance. Each insurer sets its own annual rate increase or decrease, so shopping around for a better bargain is always an option.
Why Is Homeowners Insurance in Florida So Expensive?
Homes in Florida are vulnerable to natural disasters like hurricanes and flooding that aren’t present in every state. Homeowner’s insurance premiums are more expensive in states with higher chances of property damage since insurance firms set their rates based on risk. Roofing replacement fraud is very common in Florida and is a problem in the state.
Final Thoughts
Looking for the best homeowners insurance in Florida is very essential. You need to know the one that best suits you. We do hope this article is helpful.
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