U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Retirement
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 02-11-2017, 12:36 PM
 
2 posts, read 1,416 times
Reputation: 39

Advertisements

I may have missed it but nobody who actually lives in SoFla and understands what 'homeowner's insurance' means has responded, so I will. I'm a long time Miami resident who has no mortgage. What your accountant is probably telling you is to drop your WINDSTORM coverage which is a separate expense from, although included in, your homeowner's insurance quote.

One can certainly purchase homeowner's insurance that covers liability, fire, theft etc and can add an umbrella rider. On my home that costs ~$1000/year.

Windstorm coverage however is a whole separate charge and this is what everyone is talking about with high premiums, little choice, and very high deductibles.

I dropped my windstorm when the premiums rose to $7000 annually and I would have also faced a deductible of about $25,000 before insurance coverage kicked in. Because I have no mortgage I self-insure for windstorm damage, ie I have enough saved that if my house needed a new roof etc I could pay it myself. Frankly it didn't take too many years of saving that 7K to get us to a good place financially to do so.

Last but not least, people may not understand what property values are like in SoFla. In my neighborhood a bare lot is worth $250-$300K. So in the worst case scenario I could either sell my demolished home on a valuable lot or I could use my savings to put on a new roof.

Life's a lot different in South Florida and the accountant is providing some pretty solid advice for this area--which does not apply to most anywhere else.
Reply With Quote Quick reply to this message

 
Old 02-11-2017, 12:59 PM
 
Location: equator
3,410 posts, read 1,523,023 times
Reputation: 8443
Our neighbor never had homeowners insurance. One day her dog bit another neighbor and as a result, she lost 1/2 of her Social Security payments for the rest of her life to pay the cost of that bite.


We had warned her....
Reply With Quote Quick reply to this message
 
Old 02-11-2017, 02:59 PM
 
2,591 posts, read 5,282,908 times
Reputation: 5188
Quote:
Originally Posted by MaryleeII View Post
Oh, I agree totally with the OP's accountant's advice. Just like we decided to drop life insurance because, look, we keep paying the premiums and we're not even dead Like who needs it?
ENTIRELY different. Life insurance is for your dependents. If they are otherwise covered, there is no need to keep life insurance.

I dropped it once I retired and I stopped getting it through my employer.
Reply With Quote Quick reply to this message
 
Old 02-11-2017, 03:38 PM
 
86 posts, read 56,708 times
Reputation: 408
Thanks to everyone who replied for all your thoughts and advice. As Keysdreaming pointed out, Miami, where we have lived for most of our adult lives is very expensive in terms of Homeowner's Insurance. I did call my insurance agent regarding changing our coverage, they were very reluctant to give me information about doing this LOL and changing providers is not usually an option in S.FL particularly in the area where I live because insurance companies here act as if they are doing you a favor by keeping you as a customer at all. I know the minute I have a claim they will drop me like a hot potato and I will be forced to go into the Citizen's Insurance (a government insurance pool for a lot of S.Floridians who cannot get coverage). We've had companies MOVE out of the state because our area is considered "too high risk". Frankly, I haven't had a claim at all but I've had several different companies in the 20 years we've owned this home due to insurance agencies moving out of providing coverage in this area.

I guess we could always move elsewhere, but most of our kids and grandkids are here and we like where we live. So I will be contacting my provider about updating some coverage options, including the windstorm and sinkhole coverage (which has a $32,000. deductible). Thanks again for all the great advice.
Reply With Quote Quick reply to this message
 
Old 02-11-2017, 06:12 PM
 
Location: Somewhere in America
12,304 posts, read 10,756,220 times
Reputation: 20540
Retired without homeowner's insurance? Sounds like a wicked dumb idea. Maybe she should stick to accounting and leave insurance to insurance agents.

Hurricanes
Fire
Car drives into your house
Someone falls and hurts themselves
Roof damage from wind/hail
Lightning
Tree falls and smashes part of the house

Just a few reasons off the top of my head why you should keep insurance. Unless of course you have stacks of cash laying around to demo and rebuild.
Reply With Quote Quick reply to this message
 
Old 02-27-2017, 10:19 AM
 
6 posts, read 2,349 times
Reputation: 10
thanks for every one such a nice information and i like this forum.........
Reply With Quote Quick reply to this message
 
Old 02-27-2017, 12:27 PM
 
1,973 posts, read 1,304,292 times
Reputation: 3389
That sounds like a lot. I pay under $1000 for a good sized hom, but in another state. But why would anyone risk not having home insurance?
Reply With Quote Quick reply to this message
 
Old 03-30-2017, 01:22 PM
 
11,383 posts, read 7,772,225 times
Reputation: 12258
Quote:
Originally Posted by arwenmark View Post
My house is only worth about 40K but all the insurance companies I have talked to insist it be insured for $450.000 which they say is the replacement cost. So if you want to keep it insured you may find you have no choice to lower the amount they will cover you at.
That sounds wrong, either what your home is worth or what they tell you to insure it for is wrong.

To build a small home would cost at least $100K in most areas. That's what I told was one of the reasons insurance is so high, They don't insure for how much the home is worth, it's the price to build a new one if the one you have is destroyed.

I have a mortgage on my home in Florida, so I have no choice but to insure. It's not big it's a small 3/1 840 square feet. It cost less than $100K but it has to be insured for at least $100K to be rebuilt. It costs like $1,650 a year in southwest Florida, and that's with the highest deductibles, so imagine how expensive it would be without those deductibles.
Reply With Quote Quick reply to this message
 
Old 03-30-2017, 01:24 PM
 
11,383 posts, read 7,772,225 times
Reputation: 12258
Quote:
Originally Posted by dbsteel View Post
That sounds like a lot. I pay under $1000 for a good sized hom, but in another state. But why would anyone risk not having home insurance?
They are cheap and stupid. Penny wise, pound foolish.
Reply With Quote Quick reply to this message
 
Old 03-30-2017, 01:56 PM
 
Location: Northern panhandle WV
3,007 posts, read 2,167,665 times
Reputation: 6691
Quote:
Originally Posted by LifeIsGood01 View Post
That sounds wrong, either what your home is worth or what they tell you to insure it for is wrong.

To build a small home would cost at least $100K in most areas. That's what I told was one of the reasons insurance is so high, They don't insure for how much the home is worth, it's the price to build a new one if the one you have is destroyed.

I have a mortgage on my home in Florida, so I have no choice but to insure. It's not big it's a small 3/1 840 square feet. It cost less than $100K but it has to be insured for at least $100K to be rebuilt. It costs like $1,650 a year in southwest Florida, and that's with the highest deductibles, so imagine how expensive it would be without those deductibles.
I live in a depressed area, but the house itself is 2558 sf. plus an all brick 2 car garage, the house is three stories plus basement and is all brick, not brick faced it is five bedrooms and three bathrooms and they say it would take $450K to rebuild it so that is what they charge insurance on.
In fact I could buy up most of the houses on my street for that. But try as we might we cannot find anyone to insure it for less.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Retirement
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2019, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top