Florida Home Insurance Explained

Exploring Florida's Home Insurance Challenges

1. Roof Condition and Insurance: The state and age of your roof are pivotal in determining insurance eligibility. A deteriorating roof might lead to coverage denial. For older properties, consider a wind mitigation or a 4-point inspection report.
   
   
2. Flood Zones and Their Impact: Being in a flood zone, particularly AE, can dramatically affect your insurance rates. While not always required, a Flood Elevation Certificate could significantly lower your rates. For those in flood zones with Citizens Insurance, Flood Insurance is a must. Investing in an Elevation Certificate could save thousands, as demonstrated by a case from Old Towne Insurance.
   
   
3. Managing Flood Insurance Costs: If your property has a history of flooding, insurance costs can soar. Utilizing a previous owner's policy can offer temporary relief through a 'glide path', limiting annual rate increases. Remember, never let your flood policy lapse - reinstating a lapsed policy will cost more.
   
   
4. Other Insurance Considerations: Apart from roofs, insurance companies look closely at plumbing systems. Polybutylene and galvanized steel plumbing often need replacement for insurance eligibility. Similarly, older water heaters and HVAC systems can affect policy writing.
   
   
5. Historic Homes and Insurance: Owning a historic home in St. Augustine requires special attention. Check if the property is on the historic registry, as it might complicate insurance acquisition. Also, be aware of any asbestos, as it can disqualify a home from insurance.
   
   
6. Coastal Properties and Insurance Availability: Proximity to the coast influences insurance options. Closer properties might have fewer options, especially regarding wind coverage. For Anastasia Island, some insurers impose specific restrictions.
   
   
7. Condominiums and Rising Costs: The increase in association fees is often linked to escalating insurance costs. When considering a condo purchase, look into the insurer's guidelines on building age, material, and size.

Tips for Lowering Insurance Premiums:

1. Wind Mitigation Reports: These reports, especially for homes built before 2003, can unlock significant discounts. The report details roof features like shape and connections.
   
   
2. Hurricane-Proofing: Installing hurricane impact windows or shutters on all doors and windows can earn you insurance credits.
   
   
3. Maintain a Good Credit Score: Higher credit scores often translate to lower insurance rates.

Preparing to Buy or Sell: We've compiled checklists for buyers and sellers to navigate the evolving insurance landscape effectively. It's vital to stay informed and consult professionals for advice.

For more insights, revisit part one of our insurance series and feel free to reach out with your questions or comments. Your journey to informed home ownership in Florida starts here: Your Key to St. Augustine.