Florida Home Insurance Policy Types: HO-3, HO-6, DP1 and More

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.