How Does Homeowners Insurance Work in Florida? Wind, Flood, Citizens and What Drives Your Premium

How does homeowners insurance work in Florida? In most ways it works like it does in other states, with a few big twists. A standard policy pays to fix your home, replace your things and cover you if someone gets hurt. But hurricanes come with their own deductible. Flood is not covered at all unless you buy a second policy. And when private companies say no, a state-run insurer called Citizens steps in. This guide explains each piece and how it affects buying and selling a home here.

Key takeaways

• A standard policy covers the house, your things, your liability and extra living costs. It does not cover flood.
• Insurers must offer hurricane deductibles of $500, 2%, 5% or 10% of the home's insured value, with a few limits on costly homes. You pay it once per calendar year.
• The state reported an average premium of $3,736 with wind coverage from private, state-licensed insurers. Many firms have filed rate cuts.
• Citizens had about 255,000 policies in September 2026, down from about 1.4 million three years before.
• Citizens now makes most owners with wind coverage buy flood insurance too. The last group must have it by January 1, 2027.

How does homeowners insurance work in Florida? The basic policy

Most owners of a house in Florida carry what is called an HO-3 policy. Condo owners usually carry an HO-6. It covers the inside of the unit, while the condo group insures the building. A typical policy has five main parts:

• Dwelling coverage pays to fix or rebuild the house.
• Other structures coverage pays for fences, sheds and garages that stand apart.
• Personal property coverage pays for your things.
• Loss of use pays for a hotel or rental while the home is fixed.
• Liability coverage helps if someone is hurt on your land.

You pay a premium, often once a year or through your mortgage escrow. When you file a claim the policy covers, the insurer pays for the loss minus your deductible. For a closer look at each form, see our guide to Florida home insurance policy types.

How does homeowners insurance work in Florida for wind?

Most Florida policies cover wind damage from a hurricane. However, that damage has its own deductible. Under section 627.701 of the Florida Statutes, insurers must offer four choices: $500, 2%, 5% and 10% of the dwelling limit. For homes insured at $250,000 or more, the $500 choice is not required. For homes insured above $3 million, only the 5% and 10% choices are required.

Here is what that means in dollars. On a home insured for $400,000, a 2% deductible is $8,000. A 5% deductible is $20,000. A higher deductible lowers your premium, but you pay more yourself after a storm.

The calendar-year rule

You pay the hurricane deductible once per calendar year, as long as the storms hit while you are with the same insurer or group. So if two hurricanes strike in one year, you pay it only once. After that, your regular deductible may apply to later storms. The state's Department of Financial Services explains this on its hurricane deductible page.

Wind-only policies

Some owners, most often near the coast, have a policy that leaves out wind. They buy wind coverage on its own, often from Citizens. Check the front page of your policy, called the declarations page, to see if wind is included.

How does homeowners insurance work in Florida with flood?

A standard policy does not cover flood, and that includes storm surge. You need a second policy for flood. You can buy one from the National Flood Insurance Program or from a private flood insurer. Lenders require flood coverage for homes in high-risk zones with a federally backed loan. Many owners in lower-risk zones buy it anyway, since floods also happen outside mapped zones.

Timing matters too. A federal flood policy usually has a 30-day wait before it starts. FEMA makes an exception when you buy it as part of a loan closing. In that case, coverage can start the day you close. Our post on Florida flood insurance covers costs and choices in more detail.

How does Citizens homeowners insurance work in Florida?

Citizens Property Insurance is a nonprofit insurer the state created. It is there for owners who cannot find a fair price from a private company. In the last few years, private firms have taken over many Citizens policies. As a result, Citizens had about 255,000 policies as of September 18, 2026. That is down from about 1.4 million in September 2023, according to Florida Realtors.

Who can get Citizens

It depends on what private companies offer you. In general, you cannot get or keep a Citizens policy if a private firm offers similar coverage for no more than 20% above the Citizens price. If every private offer costs more than that, you can stay with Citizens or apply.

The Citizens flood rule

Citizens now requires flood coverage on many home policies that include wind. The rule has phased in by home value. Homes insured for $400,000 or more had to add flood by January 1, 2026. All other policies with wind must have it by January 1, 2027. If you are with Citizens, plan for a flood bill even if your home is not in a high-risk zone.

What drives your Florida homeowners insurance premium

Insurers price each home on its own risk. These factors usually matter most:

• Roof age and condition. A newer roof costs less to insure.
• Wind features. Straps, impact windows, shutters and roof shape can cut the wind part of your bill.
• Location. Distance from the coast and the flood zone both count.
• How the home is built. Block homes built to newer codes often cost less.
• Your choices. Higher limits raise the price. Higher deductibles lower it.
• Past claims. Claims on the home, or by you, can raise the price.

How does homeowners insurance work in Florida with an older roof?

State law gives owners some help here. Under section 627.7011, an insurer may not refuse to write or renew a policy just because the roof is under 15 years old. If the roof is older, you can pay for an inspection. If it shows at least five years of life left, the insurer cannot refuse based on age alone.

Wind mitigation credits

Florida law also makes insurers offer discounts for features that cut wind damage. A licensed inspector fills out the state's wind mitigation form. It records the roof cover, how the roof deck is nailed down, how the roof ties to the walls, the roof shape and the window and door protection. A current report can lower the wind part of your premium by a good amount.

Where Florida homeowners insurance prices stand in 2026

After several hard years, the market has calmed. Florida Realtors, citing the state Office of Insurance Regulation, reported an average premium of $3,736 with wind coverage. Since January 2024, 48 companies have filed for rate cuts and 53 have asked for no change. Florida was also the only state where average home insurance rates fell in 2025, by 0.92%.

Still, your own price can be far above or below the average. A new block home inland in Port St. Lucie and an older home on the water in Boca Raton are priced very differently. Always get a quote for the exact address.

How does homeowners insurance work in Florida home sales?

Insurance can make or break a sale. Most lenders will not fund a loan until the buyer has a policy in place. So buyers should ask for quotes as soon as they go under contract. For an older home, it is smart to get a quote before you even make an offer.

For buyers

Ask the seller for the roof's age, a recent four-point inspection if the home is older, and the latest wind mitigation report. Use your inspection period to get firm quotes, including flood if you need it. A high quote can change what you can afford, so add it to your monthly budget.

For sellers

Before you list, gather your roof permit, wind mitigation report and any recent inspections. Buyers in Boca Raton, West Palm Beach and Port St. Lucie all ask for them. Homes with newer roofs and good wind features cost less to insure. That makes them easier to sell.

Frequently asked questions

How does homeowners insurance work in Florida for hurricanes?

Your policy usually covers wind damage from a hurricane. A separate hurricane deductible applies, often 2%, 5% or 10% of the insured value. Storm surge and flooding need a flood policy.

Is flood insurance required in Florida?

Lenders require it for homes in high-risk flood zones with federally backed loans. Citizens also requires it for policies with wind, and the last group must have it by January 1, 2027.

Can I get Citizens if a private company offers me coverage?

Only if every similar private offer costs more than 20% above the Citizens price. If not, you cannot get Citizens.

Why is my Florida homeowners insurance so expensive?

Hurricane risk, roof age, distance to the coast and past claims all raise the cost. Wind upgrades and a higher deductible can bring it down.

When should I shop for insurance when buying a home?

Start before you make an offer on an older home. Then get firm quotes during your inspection period. Your lender will need proof of coverage before closing.

Sources

• Florida Statutes, s. 627.701 hurricane deductibles
• Florida Department of Financial Services, hurricane deductible
• Florida Statutes, s. 627.7011 roof age
• Florida Statutes, s. 627.0629 wind mitigation discounts
• Florida Realtors, more home insurance rate cuts (September 2026)
• Citizens Property Insurance, who can get coverage
• News4JAX, Citizens flood rule by 2027
• FEMA FloodSmart, flood insurance basics

This article is general information, not legal, insurance or financial advice. Rules and policy terms change, so read your own policy and talk with a licensed insurance agent.

Selling a Florida home? A newer roof and a current wind report can help your home stand out. Start with a free home valuation to see where you stand. Buying instead? Schedule a buyer strategy call, and a Pure Equity agent will help you fit insurance into your budget before you make an offer. Talk with our team.