Have you heard the term “hurricane insurance in Florida”? We all have. While this is a commonly used term, it sort of doesn’t exist. However, there is a combination of policies that can protect your home from hurricanes and there damages. If you are a FL resident and live in a hurricane zone, it’s recommended to purchase as much extra coverage as you can afford.
Florida homeowners is the first step when it comes to protecting your home. In fact, you may be able to supplement your policy with windstorm insurance or even flood insurance. A standard wind insurance policy can protect your home from some damages caused by strong winds. If heavy winds from a hurricane damage your home, your policy will help by reimbursing you for those damages. The first half of “hurricane insurance” is windstorm insurance. You can purchase this in addition to your normal homeowners policy. In this case, all wind damages will fall under this policy instead of your traditional homeowners. It’s also important to understand that windstorm insurance is usually offered to customers in the form of a rider.
Homeowners policies also exclude hurricanes and the damages that come along with them. For instance water damages due to flooding. In fact, flooding is the number one cause of damages in the United States, therefore, purchasing the right coverage is a smart move. Never assume that flooding can’t happen to you. As a Florida resident, it can easily happen.
While there is no such thing as hurricane insurance in Florida, you may be required to pay a hurricane deductible. A hurricane deductible is an amount that you must pay before coverage kicks in. These deductibles are separate from your regular homeowners deductible. Usually, a hurricane deductible is between 2-5% of what your home is insured for.
The second half of “hurricane insurance” is flood insurance. When a hurricane roars through your neighborhood you can expect some flooding and water damages to occur. Florida flood insurance covers any water damages done to your home and to your belongings. If a hurricane causes major flooding and the water seeps into your home, your flood policy will be able to cover you.
Why do I need homeowners and flood insurance for a hurricane?
If you just have a basic homeowners policy, this coverage is simply not enough for a FL resident once a hurricane hits. You will need to purchase a Florida flood insurance policy in order to be completely covered. You would be surprised how many people out there decide against this coverage. It’s a huge risk to go without this coverage. If your home gets flooded you will be paying for these damages out of pocket.
How much is flood insurance in Florida?
The cost of flood insurance in Florida is an estimated $540. Remember that flood insurance rates can vary depending on if you are located in a high-risk zone. In fact, these rates can range from $150-$2,000. Flood insurance isn’t mandated by the state but can be required by mortgage lenders.