01 Oct How Much are Home Insurance Rates in Florida Rising?
If you’ve been surprised by a recent increase to the home insurance rate for your Florida home, you’re not alone. Home insurance rates in Florida are rising across the board! The exact amounts of the increases vary from carrier to carrier. We are seeing carriers requesting up to 40% increases. In many cases, homeowners won’t know what to expect until the increases hit their bills. Many carriers are still weighing their options and determining what their increases will be.
Why Are Florida Home Insurance Rates Going Up?
Increases in Florida home insurance rates aren’t only happening in a few isolated carriers. They’re across the board, more or less. As it turns out, there are several reasons why this is happening.
Increased Hurricane Losses
The threat of a hurricane is a crucial reason for any Florida homeowner to have insurance. The problem is that hurricane activity has increased dramatically over the past few years. There have been major hurricanes at least once each year since 2017. In the past, insurance carriers had enough time between major hurricanes to recuperate their losses. In recent years, though, they haven’t had that crucial recovery time. This raises your insurance carrier’s expenses in more ways than simply paying out claims. Insurance companies have reinsurance as well. Think of reinsurance as insurance for insurance companies. The reinsurance carriers are raising their rates for Florida providers because of the higher hurricane risk. This means higher expenses for your insurance carrier, which means higher premiums for you.
Roof Claims and Lawsuits
Insurance companies across the state have adjusted their rates to keep up with unforeseen increases in roof claims and lawsuits driven by contractors. This has caused many companies to reassess their policy language and premiums charged.
Tips to Lower Your Home Insurance Rate
You may be surprised to hear that, even with the increase, you are likely still receiving the best value for your money. We know the bottom line dollar amount is important. We also know that you cannot replace value or piece of mind when you experience a claim. Many of the driving factors for rising insurance rates aren’t in your control. However, that doesn’t mean you’re powerless. There are several steps you can take to lower your insurance rates in other ways, offsetting rate increases.
- Bundling Options
- Home Improvement Discounts
If you have any questions or concerns, please do not hesitate to give us a call at 352.751.6622.