[iuki001]

My research indicates that Central Florida and Jacksonville are least-impacted by hurricanes. Are hurricane/flood/homeowners' policies less expensive in these areas?

Where in Florida is hurricane insurance the cheapest? What happens when insurance companies drop clients from their insurance? What do homeowners do when their insurance is dropped?

We love Florida but are leary about being at the mercy of insurance companies. We have been with State Farm for 44 years and know that State Farm is pulling out of Florida for homeowner policies.

Can those living in Florida reassure me? So far, we're thinking Arizona, but would really prefer Florida. Help!

Many thanks.

iuki

[Mike1306]

If you purchase a newer home the insurance is not bad.
I am 4 miles from the water and pay under $800 for $335K in coverage.
If I went with the comprehensive sinkhole coverage it would have been around $600 more.
I was with State Farm until a couple years back they wanted to raise my rate to over $4000. I ended up going to Citizens for $1200 and it has gone down since then.
They are talking about raising Citizens some but I really doubt they could get away with any big increases.

[iuki001]

Originally Posted by Mike Peterson

If you purchase a newer home the insurance is not bad.
I am 4 miles from the water and pay under $800 for $335K in coverage.
If I went with the comprehensive sinkhole coverage it would have been around $600 more.
I was with State Farm until a couple years back they wanted to raise my rate to over $4000. I ended up going to Citizens for $1200 and it has gone down since then.
They are talking about raising Citizens some but I really doubt they could get away with any big increases.

Thanks much.

iuki

[dlhanson]

Florida politicians are reckless when it comes to property insurance. Floridians may pay below actuarially sound rates now but when the next big hurricane hits, the state of Florida will be in big trouble. From a recent WSJ editorial:

"Mr. Crist has thus guaranteed that Floridians, rather than the global insurance industry, will be on the hook for property damage when the next Katrina hits. Citizens is facing more than $400 billion in potential exposure, yet Citizens Chief Financial Officer Sharon Binnun was recently cited in the South Florida Sun Sentinel as saying it had only $3.4 billion in net assets. Anxious to keep voters happy, legislators have frozen Citizens premiums the past three years."

We are thinking about moving to Florida next year but the insurance situation gives us something to think about. If the State found itself hundreds of billions in the hole because of politician pandering, how would they make up the losses? Either insurance surcharges or taxes or both, I would presume. We could escape insurance surchanges by self-insuring but it could be impossible to escape taxes. Maybe we should rent rather than buy?

[yamahastar]

You are fooling yourselves if you think there is an area of Florida that is safe when it comes to hurricanes. An area can go years without being hit and devastated by several within one season. If hurricanes scare you, Arizona is the place to be.

[faithfulFrank]

I don't think that this subject in itself should keep anyone away from Florida.

My home is in central florida........because it is an older home, (15 years old), my rates are a bit higher then some newer homes in the area. Homeowners insurance is just one in many expenses......

My home in NY has lower homeowners insurance, but my taxes are 3x as much....my utilities per year are way higher.......my water bill is cheaper in NY....gas is a bit cheaper in Florida......milk is a bit higher in Florida.
In NY, my cars rust away.....I have many extra expenses that I do not have down in Florida......

All in all, my cost of living I believe is cheaper in Florida. I don't want to debate this......many here say Florida is expensive....(I don't think so, but hey, I'm from NY)

The point I'm trying to make is that one has to look at the WHOLE picture.

Frank D.

[Dee74]

You are smart to research this well. We are in south Tampa area in a home we have lived on for 23 years and are being run out from insurance. Home has been updated and 2/3 of it new construction on last 5 years. That said our HOI is $2800 yr and flood is $3200 both for $225k in coverage. We had done all this work to stay in our home and retire here, that now is looking more difficult.

Just last week inquired if we paid off our home and reduced coverage to say $85k to give us enough to start over and clear the lot in the event of a major loss what that would be and to my shock found out they won't let you insure for less than replacement cost or you can go bare,nothing in between so no point in paying off our home. We are at a major crossroads as we cannot retire and afford premiums like this and can't really afford to self insure as you cannot even buy just liability coverage in case you are sued.
It really does depend on where, how new, flood plain or not etc.
Good Luck

[faithfulFrank]

Dee,
I'm sorry for your situation.

I know that for those close to the shores, insurance is high. I'm sure that living 1.5 hours from either shore is partially what keeps my HOI much lower.

Frank D.

[KeysDreamer]

We are in Palm Coast on the east coast of FL about 7 miles inland from the ocean. Through Tower Hill Ins. and for $255k on the home with full replacement value our HOI runs $858.00 a year. No flood needed as we are very high. I believe I-95 is the dividing line in this area for the lower HOI premiums.

I agree about Citizens and the State being on the hook if we should ever get a major hurricane. Not sure if the State could handle the financial loss if it was real bad, especially with the current economic conditions. Try to avoid Citizens and being right near the beach. Do feel for you Dee but it is oh so nice being close to the ocean.

Plenty of companies still writing esp. up this way (friend is agent) so call around for rates and make sure the company is rated an A in Best's Insurance Guide. Re-Insurance (insurance for the ins companies) behind the company is also important.

[Keeper]

Originally Posted by Dee74

You are smart to research this well. We are in south Tampa area in a home we have lived on for 23 years and are being run out from insurance. Home has been updated and 2/3 of it new construction on last 5 years. That said our HOI is $2800 yr and flood is $3200 both for $225k in coverage. We had done all this work to stay in our home and retire here, that now is looking more difficult.

Just last week inquired if we paid off our home and reduced coverage to say $85k to give us enough to start over and clear the lot in the event of a major loss what that would be and to my shock found out they won't let you insure for less than replacement cost or you can go bare,nothing in between so no point in paying off our home. We are at a major crossroads as we cannot retire and afford premiums like this and can't really afford to self insure as you cannot even buy just liability coverage in case you are sued.
It really does depend on where, how new, flood plain or not etc.
Good Luck

Dee..

Have you checked with other ins companies? That seems high unless you live on the water. Check out this link
Compare Homeowner's Insurance Rates.