Florida's homeowner insurance rates are rising. In 2016, the rates rose by 33%. The rates vary by county. To avoid paying a higher premium, consider taking advantage of discounts for adding certain protective devices to your home. Flood damage in Florida is one of the most frequent claims.
Rates have risen 33% from 2016
Florida is seeing an increase in homeowners insurance rates. According to the Insurance Information Institute, Florida's property insurance rates have increased an average 33% per year since 2016. This is a higher rate than the 10.9% increase nationally. However, it is not the only reason for the spike in Florida insurance rates. The state is experiencing difficulties with small, in-state insurers. Sixteen Florida-based insurance companies declared bankrupt this year.
The increase in insurance costs can be partly attributed to the increased risk of storms. Reinsurance costs have also increased. Some reinsurers are deciding to withdraw from Florida, while others are raising rates. The consumer pays 35% to 50% of these premiums.
Florida flood damage is a common claim
Flood damage coverage should be added to your homeowner's policy in case of 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 lead to thousands of dollars in damages, as well as mold and structural damage. Water damage is a common reality, regardless of whether the water was caused a hurricane or natural disaster. Florida homeowners insurance covers flooding damage. Flood damage can also happen from mudflows. A single inch of water can cause flood damage that could cost thousands of dollars.
Florida's home insurance policy includes liability coverage.
Liability coverage is an important part of homeowners insurance. This covers any medical expenses you may incur as a result of an injury sustained to another person. You also get coverage for other expenses that may arise from negligence. You must have sufficient liability coverage in order to pay for damages if you are sued. It is a good idea to hire an agent who has experience in reviewing policies and ensuring you get the best rates.
Florida home insurance includes liability coverage. The coverage amount will depend on the type, age and contents of your home. Separate insurance is required for detached garages. The typical limits for detached garages is 2% or 10% of your main residence's coverage. If you want to purchase greater limits, you can. Your agent should be informed if your detached structure is rented out or used for business purposes. These types of situations might require special coverage.
You can get discounts on adding protective devices to the home
Many insurance companies offer discounts to homeowners who add certain protective devices to their homes, including smart home technology. Farmers, Liberty Mutual, USAA, among others, offer discounts for ADT system installations. However, eligibility may vary from one state to the next. These discounts can help reduce the total cost of smart-home upgrades and offer an incentive to create safer homes.
In addition to smart home technology, there are many other ways to protect your home. You can also install an alarm system and a smoke detector. These devices can help protect your house from fire and theft. They can also reduce your property insurance premiums.