Florida property insurance rates expected to jump 40% to 50% in June (Miami: HOA, crime)

[Sunshine Rules]

The flood insurance rating system has changed and all flood insurance policies are moving to actuarial rates or true risk rates, calculated for individual properties.

Previously the program priced flood insurance policies based largely on whether a home was inside the 100-year flood plain–land expected to flood during a major storm. The result has been a program that subsidizes more affluent coastal homeowners at the expense of those with flood insurance policies who live further inland, in lower flood risk zones.

As of October 1, 2021, all new flood insurance policies are being written with the new methodology for the actuarial flood risk rate. Effective April 1, 2022, all renewing policies will move towards actuarial flood risk rates as well.

Individual property’s risk factors will be used to calculate flood insurance rates, such as:
Foundation type,
Elevation above ground,
Structure replacement cost,
Frequencies of a variety of flood types,
Distance to flooding type/source. Coast, Ocean, River

Existing statutory limits on flood insurance rate increases require that most rates not increase more than 18%per year. For 2nd homes the cap is 25%. Others looking at 25% annual increases are business properties and properties which have sustained repeated severe flood losses.

The premium goes from year to year and the rate change will only happen at renewal.


There's an excellent Bradenton Herald article that goes into details about potential rate changes in Manatee county. Read more at: https://www.bradenton.com/news/local...#storylink=cpy


I read recently that approximately 77% of all flood insurance policies should expect to see some sort of rate increase. Keep in mind that the national flood insurance program is approximately 20 billion dollars in debt at this time....


If anyone is thinking of buying a property located within a designated flood zone, you'll definitely want to contact a local insurance agent and get a quote based on new coverage under the new calculations. You can't go by what the current owner is paying.

[wondermint2]

Insurance companies dropping homeowners with solar panels in Florida

https://news.google.com/articles/CBM...S&ceid=US%3Aen

If you’ve been thinking about going green and saving a little cash, there could be consequences from your insurance company when it comes to installing solar panels on your home.

Homeowners in Florida are spending tens of thousands of dollars to get solar panels installed on their rooftops, but then they get a notice from their home insurer that they’re getting dropped.

David Keljik owns Custom Solar and Electric. He admits to hearing from customers that they are getting dropped by their insurance company.

“Some insurance companies actually embrace it because they realize it protects your roof more,” Keljik explained.

Insurance Agent Reid McDaniel warned some homeowners may have to shop for coverage.

“There are only about half the carriers in Florida that will insure solar panels,” Reid noted.

“Some carriers just haven’t figured out where they need to be and how they need to work the coverage. That is something that is happening, but it will take time to catch up,” McDaniel said.

The best advice…if you’re going to get solar panels make sure you check with your insurance company first because you may have to find another company.

[beach43ofus]

Well, after long deliberation, we made some policy amendments, and renewed.

Our annual quote showed a 50% increase, but after we re-aligned our coverages, we wound up paying a 25% increase.

Our personal property amount was too high, so we reduced it down to the minimum they allow...40% of home value.

I was told that no other insurance companies are writing new home owners policies for homes 5+ years old in this area, aside from Olympus. (Our home just became over 5 yrs old). Can anyone confirm, or deny that?

[MOforthewin]

Originally Posted by beach43ofus

Well, after long deliberation, we made some policy amendments, and renewed.

Our annual quote showed a 50% increase, but after we re-aligned our coverages, we wound up paying a 25% increase.

Our personal property amount was too high, so we reduced it down to the minimum they allow...40% of home value.

I was told that no other insurance companies are writing new home owners policies for homes 5+ years old in this area, aside from Olympus. (Our home just became over 5 yrs old). Can anyone confirm, or deny that?

And you're not even that close to the coast, correct? If Florida gets another major hurricane we got BIG problems.

[beach43ofus]

Originally Posted by MOforthewin

And you're not even that close to the coast, correct? If Florida gets another major hurricane we got BIG problems.

We're ~8 miles inland on a high dry "X" rated lot, cinderblock home w/ hip roofline, and flat cement tiles. Our home is wind-rated at 160 mph w/ the metal shutters deployed. We live close to the fire station, and have a perfect credit rating. No home here got flooded or serious roof damage during Ian, but I doubt they've been able to enter that into their formula yet.

Due to how well our neighborhood performed in Ian, I'd have thought the prices would fall, but I realize insurance is a statewide risk pool, so we're paying for other homeowners riskier homes...I hate that...more redistribution, & shielded accountability due to gov't interfering in the "free" marketplace.

The only thing I could have done to lower our insurance bill is to have Hurricane windows, & I decided against them...price too darn high...I'd have to live in this house for 30+ yrs to have that make sense.

Our home value is +$550k, & our HOI bill is still <$2,000/yr., so I shouldn't whine; I know others are paying 10X as much.

I voted to cancel it & go bare, but my better half voted to keep it, so we kept it...for another year anyways.

If FLA takes another Ian-like hit this season, the state will need to start supplementing the insurance industry.

[Dave_n_Tenn]

Originally Posted by beach43ofus

We're ~8 miles inland on a high dry "X" rated lot, cinderblock home w/ hip roofline, and flat cement tiles. Our home is wind-rated at 160 mph w/ the metal shutters deployed. We live close to the fire station, and have a perfect credit rating. No home here got flooded or serious roof damage during Ian, but I doubt they've been able to enter that into their formula yet.

Due to how well our neighborhood performed in Ian, I'd have thought the prices would fall, but I realize insurance is a statewide risk pool, so we're paying for other homeowners riskier homes...I hate that...more redistribution, & shielded accountability due to gov't interfering in the "free" marketplace.

The only thing I could have done to lower our insurance bill is to have Hurricane windows, & I decided against them...price too darn high...I'd have to live in this house for 30+ yrs to have that make sense.

Our home value is +$550k, & our HOI bill is still <$2,000/yr., so I shouldn't whine; I know others are paying 10X as much.

I voted to cancel it & go bare, but my better half voted to keep it, so we kept it...for another year anyways.

If FLA takes another Ian-like hit this season, the state will need to start supplementing the insurance industry.

Insurance is always a 'pool'. That's how it works.

[beach43ofus]

Originally Posted by Dave_n_Tenn

Insurance is always a 'pool'. That's how it works.

I know, but I don't have to like being thrown in the pool w/ people who have shoddy frame construction on the water.

I'm in the shallow end of the pool playing it safe, & they're in over their heads in the deep end taking crazy risks.

The pool needs to be split up into 2 groups...high risk, & highest risk.

If mine gets jacked again next year, I'll debate harder w/ my better half to cancel it. The battle wasn't worth fighting this time over a few Hundred Dollars, especially when our home value is up by $550k. I just happen to be quite frugal...an Aldi shopper.

[Dave_n_Tenn]

Originally Posted by beach43ofus

I know, but I don't have to like being thrown in the pool w/ people who have shoddy frame construction on the water.

I'm in the shallow end of the pool playing it safe, & they're in over their heads in the deep end taking crazy risks.

The pool needs to be split up into 2 groups...high risk, & highest risk.

If mine gets jacked again next year, I'll debate harder w/ my better half to cancel it. The battle wasn't worth fighting this time over a few Hundred Dollars, especially when our home value is up by $550k. I just happen to be quite frugal...an Aldi shopper.

Here's a wooden frame structure that has held up rather well... for over a century. I can walk to it from my place. https://hsmc-fl.com/house-of-refuge/

[beach43ofus]

Originally Posted by Dave_n_Tenn

Here's a wooden frame structure that has held up rather well... for over a century. I can walk to it from my place. https://hsmc-fl.com/house-of-refuge/

For every wooden frame structure that survived, there are thousands that were blown away.

Remember those images from the Panhandle (Mexico Beach) where the 1 Doctor's house stood intact amongst the rubble? His home was cinder block, and most of the rest were stick.

[Dave_n_Tenn]

Originally Posted by beach43ofus

For every wooden frame structure that survived, there are thousands that were blown away.

Remember those images from the Panhandle (Mexico Beach) where the 1 Doctor's house stood intact amongst the rubble? His home was cinder block, and most of the rest were stick.

Let me share my experiences from my electric utility days when I worked over 50 major storms over my career.

Regarding residential homes, the part that fails is the roof. If you have a concrete block home, 99% of them have wooden roofs. No one uses 'cinder blocks' anymore.