Florida's homeowner insurance rates are rising. Since 2016, rates have increased by 33%. The rates vary by county. You can save money by adding protective devices to your home. Flood damage is one of Florida's most popular claims.
Rates have risen by 33% in 2016
Florida is experiencing an increase in homeowners insurance premiums. The Insurance Information Institute tracks the rates of property insurance and found that Florida rates have increased on average by 33% since 2016. This is a higher rate than the 10.9% increase nationally. But it's not the only reason Florida insurance rates are rising. The state is experiencing difficulties with small, in-state insurers. In fact, six Florida insurance businesses declared bankruptcy this year.
Partly due to an increase of storms, insurance costs have risen. This has caused an increase in the reinsurance costs. Some reinsurers are considering withdrawing from Florida, while other are increasing their rates. The premium is passed to the consumer, who pays between 35%-50%.
Flood damage is a common claim in Florida
Flood damage coverage is something you should look into if there's flooding. Florida is well-known for its extreme weather. Make sure your policy covers any damage. Floods can cause significant damage to your property and can be expensive to repair.
Flood damage can cause thousands of dollars of damages, including mold and structural damage. Water damage can happen to homeowners regardless of whether it was caused by a hurricane, a natural disaster or other factors. Florida homeowners insurance covers flooding damage. Flood damage may also occur from mudflows, overflowing rivers, and other factors. Just one inch of water within your home can cause flooding that can cost you thousands of bucks.
Florida's home insurance policy includes liability coverage.
Liability coverage is an important component of homeowners insurance. It pays for any medical expenses that you incur due to an injury to another person. Other expenses may also be covered by the policy, including those resulting from negligence. Liability coverage must be sufficient to cover expenses arising from negligence if you are sued. A professional agent can help you evaluate your policy to ensure you are getting the best rates.
Florida home insurance also includes liability coverage. The type of house and contents will determine the coverage amount. Separate insurance is required for detached garages. The limits for detached garages typically equal 2% to 10% of the coverage for the main home. Higher limits can be purchased if desired. If you rent your detached structure out, or use it for business purposes, inform your agent. You may need specialized coverage for these situations.
Get Discounts on Protective Devices for Your Home
Many insurance companies offer discounts to homeowners who add certain protective devices to their homes, including smart home technology. For example, Farmers, Liberty Mutual, and USAA offer discounts for ADT security systems, but the qualifications may vary by state. These discounts can reduce the cost of smart home upgrades, and they may be a motivator to make your home safer.
There are other ways to protect your home than smart home technology. You could install an alarm or smoke detector. These devices can protect your home from fire and theft. They can also help reduce your property-insurance premiums.