Florida Home Insurance Policy Types: HO-3, HO-6, DP1 and More
July 7, 2026 · 8 min read · By Onias Derilus, Broker
HO-3, HO-6, DP1, DP3: the letters and numbers on a Florida insurance policy actually mean something. Here is what each form covers and how to pick the right one.
Every Florida homeowners insurance policy has a form name, an HO-3, an HO-6, a DP3, and those codes tell you exactly what the policy is built to cover. Most owners never think about them until a claim reveals a gap, but choosing the right form is one of the more important decisions in setting up coverage. The differences come down to what kind of property you have, whether you live in it, and how the policy pays a claim. This guide translates the alphabet soup into plain English so you can confirm you have the right policy for your situation.
Key takeaways
- HO-3 is the standard policy for an owner-occupied single-family home and the most common form in Florida.
- HO-6 covers a condo unit, HO-7 covers a mobile or manufactured home, and HO-8 is built for older homes.
- DP1 and DP3 are dwelling fire policies used for rentals, vacant homes, and hard-to-insure properties.
- Open-perils coverage protects against anything not specifically excluded, while named-perils coverage protects only the risks listed.
- Replacement cost pays to rebuild or replace, while actual cash value subtracts depreciation, which matters most on roofs.
HO-3: the standard homeowners policy
The HO-3 is what most people mean when they say homeowners insurance. It covers an owner-occupied single-family home and bundles the core protections: dwelling, other structures, personal property, liability, and loss of use. On the structure it provides open-perils coverage, meaning it protects against any cause of loss except the ones specifically excluded, while your personal belongings are usually covered on a named-perils basis. For the typical Florida homeowner living in a site-built house, the HO-3 is the right starting point, and most of the advice about deductibles, wind mitigation, and coverage amounts is written with this form in mind.
HO-6, HO-7, and HO-8: policies for specific homes
Several forms exist for homes that do not fit the standard HO-3 mold. An HO-6 is the condo owner's policy, often called walls-in coverage, because the condo association's master policy handles the building's exterior and common areas while your HO-6 covers your unit's interior, your belongings, and your liability. An HO-7 is the equivalent of an HO-3 built for a mobile or manufactured home, which has its own construction and wind considerations, covered in our guide to mobile and manufactured home insurance in Florida. An HO-8 is designed for older homes and typically pays actual cash value, which can be the right fit when a home's cost to rebuild would far exceed its market value, as explained in our guide to insuring an older home in Florida. Matching the form to the property is the whole point.
DP1 and DP3: dwelling fire policies
When a home is not owner-occupied, the HO forms usually do not apply, and you move to a dwelling fire policy instead. These come mainly in two flavors. A DP1 is the basic form: it covers a limited list of named perils and typically pays actual cash value, so it is the most bare-bones and least expensive option, often used for vacant homes, seasonal properties, or homes that are hard to insure any other way. A DP3 is the special form: it provides broader open-perils coverage on the structure and pays replacement cost, making it the common choice for a rental property where the owner wants solid protection. If you rent out a Florida home, a DP3 is usually the policy you want, and it pairs with a tenant's own renters policy for their belongings.
Named perils versus open perils
Two phrases decide how much a policy actually protects. Named-perils coverage lists the specific risks it covers, such as fire, wind, or theft, and anything not on the list is not covered. Open-perils coverage, sometimes called all-risk, flips that logic: it covers every cause of loss except the ones the policy specifically excludes, which makes it broader and the burden falls on the insurer to prove an exclusion applies. Open perils is stronger protection, which is why the better forms, HO-3 and DP3, use it on the dwelling, while basic forms like DP1 rely on named perils. When you compare quotes, this distinction matters as much as the price.
Replacement cost versus actual cash value
How a policy pays a claim is just as important as what it covers. Replacement cost coverage pays what it takes to repair or replace the damaged property with new materials of like kind and quality, without subtracting for age or wear. Actual cash value pays the depreciated amount, the replacement cost minus depreciation, which can be far less on an older item. In Florida this shows up most sharply on roofs, where some carriers have moved to actual cash value on older roofs, meaning a storm claim could leave you covering a large share of a new roof yourself. Whenever you can, you want replacement cost on the dwelling, and you want to know exactly how your policy treats the roof.
Which policy do you need
Start with how the property is used. If you live in a single-family home, an HO-3 is almost certainly right. A condo calls for an HO-6, a mobile or manufactured home for an HO-7, and a much older home may fit an HO-8. If you rent the property out, look at a DP3 for solid coverage or a DP1 for a basic, lower-cost policy on a vacant or hard-to-insure home. Then confirm two things on whichever form you choose: that the dwelling is written on an open-perils, replacement-cost basis where possible, and that you understand how the roof is covered. A licensed agent can match the form to your situation and make sure there are no surprises at claim time. The broader picture of homeowners insurance in Florida covers how the market shapes all of these choices.
Frequently asked questions
What is the most common home insurance policy in Florida?
The HO-3 is the most common, covering owner-occupied single-family homes with open-perils protection on the structure and replacement-cost coverage. Most standard homeowners advice assumes an HO-3.
What is the difference between DP1 and DP3?
Both are dwelling fire policies for non-owner-occupied homes. A DP1 is basic, covering named perils and paying actual cash value, and is often used for vacant or hard-to-insure homes. A DP3 is broader, covering open perils and paying replacement cost, and is the common choice for rental properties.
What policy do I need for a rental property in Florida?
Usually a DP3 dwelling fire policy, which gives the owner open-perils, replacement-cost coverage on the structure. Your tenant carries their own renters policy for their belongings. A DP1 is a lower-cost alternative for vacant or hard-to-insure homes.
What does an HO-6 policy cover?
An HO-6 is a condo owner's policy. It covers the interior of your unit, your personal property, and your liability, while the condo association's master policy handles the building exterior and common areas. It is often called walls-in coverage.
Is replacement cost or actual cash value better?
Replacement cost is generally better because it pays to rebuild or replace without subtracting depreciation. Actual cash value pays the depreciated amount, which can be much less, especially on an older roof. Aim for replacement cost on the dwelling where your carrier allows it.
Not sure which policy form fits your property? Pure Equity Realty can connect you with a licensed local agent who matches the right policy to your home and explains the coverage in plain English. Request a free insurance referral to get started.
Named peril versus open peril is a burden of proof question
The distinction is usually explained as a list of what is covered. The consequence that matters arrives at claim time, and it is about who has to prove what.
Under an open peril form, everything is covered unless the policy excludes it. If your claim is denied, the insurer is pointing at an exclusion and the argument is about whether that exclusion applies.
Under a named peril form, only the listed causes are covered. The starting position is that your loss is outside the policy, and you have to establish that it was caused by something on the list.
That difference decides ambiguous claims, which is most of them. Damage whose cause is genuinely unclear tends to be covered under an open peril form and not covered under a named peril one, and the cost difference between the two forms is frequently smaller than people assume. Ask which form applies to your dwelling and which applies to your contents, because a single policy can use different forms for each.
The endorsements decide more than the form letter does
Two policies of the same type can behave very differently, and the differences sit in the parts nobody reads.
- Roof settlement. Whether a roof is settled at replacement cost or on a schedule that reduces with age. On an older roof this single term can be worth most of a replacement.
- Ordinance or law. Whether the policy pays the additional cost of rebuilding to current code. On an older Florida home the gap between original construction and current code is substantial.
- Water damage limits. Frequently capped well below the dwelling limit, and this is the most common cause of a claim that pays far less than expected.
- Screened enclosures, pools and detached structures. Often limited separately, and often the first thing a storm damages.
- Loss of use. What the policy pays for somewhere to live while the house is repaired, which matters more the longer repairs take.
Read those five on your declarations page rather than on the marketing summary. They are where two apparently equivalent quotes stop being equivalent.
Read your own declarations page once a year
The document that states what you actually bought is one or two pages, and most owners have never read theirs.
Check the dwelling limit against what it would cost to rebuild today rather than against what you paid, since construction costs and the price of a house move independently. Check the hurricane deductible as a dollar figure rather than a percentage. Check the roof settlement basis. Check whether ordinance or law is present. Check the water damage limit.
Do it at renewal, because terms change at renewal and the changes are not always highlighted. An owner who reads the declarations page annually finds the surprise while it can still be fixed rather than after a loss.
Choose the form to the situation, not the label
Which policy type fits depends on facts about the property and about how it is used, and a few situations catch people out.
A house being renovated substantially, or one sitting vacant between occupants, may not be properly covered under an ordinary homeowners policy. Both are situations with their own forms and both are commonly overlooked during a transition.
A property you own and rent out is a different form again from one you live in, and a property you rent out short term is different from one on an annual lease. Tell your agent exactly how the property is used and how often, because a mismatch between the stated use and the actual use is the kind of thing that surfaces at claim time.
And an older home that cannot obtain a standard form is not necessarily uninsurable. It may qualify for a form written for that situation, which typically settles differently and carries narrower coverage. That is worth knowing before you buy such a house rather than after.
More common questions
Why does named versus open peril matter so much?
It decides who has to prove what. Under an open peril form the insurer must show an exclusion applies; under a named peril form you must show the cause is listed.
What should I check on my declarations page?
Dwelling limit against rebuild cost, hurricane deductible in dollars, roof settlement basis, ordinance or law, and the water damage limit.
Does the policy type change if I rent the house out?
Yes, and it changes again for short term rental. Describe the actual use to your agent rather than the intended one.
