Moving to South Florida? What You Need To Know About South Florida Homeowners Insurance

Beautiful weather, spectacular beaches, abundant golf and recreation, and low income taxes are just some of the incentives that draw thousands of people to move to South Florida every year. You may have visited the Sunshine State many times, even staying for months at a time, but when it’s time to take up permanent residence here, there may be some issues that will surprise you.

One of the pitfalls that new homeowners may face is the difficulty in finding South Florida homeowners insurance. You may have been with the same homeowners insurance company for years, with an excellent policy history, but find yourself turned down when you try to get a Florida homeowners insurance policy. Some homebuyers will run into a brick wall when trying to find homeowners insurance, and Florida has created Citizens Property Insurance Corporation to provide guaranteed coverage to people unable to obtain homeowners insurance through traditional means. If you are unable to find homeowners insurance through traditional means, visit www.citizensfla.com for information on this state program.

The State of Florida is constantly changing the rules for hurricane insurance, due to huge hurricane insurance claims. Pressure from insurance companies have resulted in new rules that make it harder to find affordable coverage. There are special requirements for hurricane insurance deductibles; they are often required to be at least 2% of the loss, exposing homeowners to significant risk that must be planned for in advance. Be sure to discuss your hurricane insurance premium with your agent when you are selecting a policy.

Flood insurance is another consideration when selecting and insuring a home in South Florida. You need to know if your home is in a flood zone, because if it is, you will be required to purchase additional flood insurance. Waterfront properties may or may not be in a flood zone, this depends upon the historic high water level and the specific elevation of your home. To avoid unpleasant surprises when purchasing homeowners insurance, find out first if you are in a flood zone. Even if your home is not in a flood zone, you may wish to purchase flood insurance as an extra precaution in case of flooding, because flood damage is not covered under basic South Florida homeowners insurance policies.

The ideal way to find homeowners insurance in South Florida is to get a referral from a friend who lives near your new home, that will give you an excellent lead on which insurance companies write policies in your neighborhood. Availability of insurance varies widely based on proximity to water, flood plains, and hurricane damage history. Your best bet is to work with an independent South Florida insurance agent based in your area, since they will have access to all of the insurance companies that are available to you. Be aware of these possible pitfalls when setting up house in Florida, and your move to the Sunshine State will be easy and enjoyable.