Compare the best home insurance companies in Florida for 2022
Homes in Florida have an elevated risk for damage due to the state’s risks from tropical cyclones and other severe weather events, so you may want to ensure your insurance coverage fits your needs. To help you in your search, Bankrate analyzed:
- The average cost of home insurance from each carrier
- Coverage types, discounts and third-party scores
- Policy features like mobile apps, online tools and other technology
Based on the data, the following companies are our choices for the best homeowners insurance in Florida for 2022. Some of these companies may be unavailable for Florida homeowners in areas at higher risk for significant weather-related damage.
|Company||Bankrate Score||Average premium*||AM Best rating||Read more|
|State Farm||4.7||$1,535||A++||Read State Farm review|
|Kin||4.5||Rates not available||Not rated||Read Kin review|
|Chubb||4.4||$2,406||A++||Read Chubb review|
|Tower Hill||4.0||$1,332||B+||Read Tower Hill review|
|Allstate||3.9||$1,411||A+||Read Allstate review|
*Average rates are for annual policies with $250,000 in dwelling coverage
Bankrate’s editorial team confirmed these five carriers are actively writing new Florida homeowners insurance policies. However, because Florida homes face unique risks, coverage may be limited to certain ZIP codes, homes of a certain age or homes with specific safety features, like wind mitigation measures.
When shopping for home insurance, Florida residents may want to work with a local insurance agent for guidance. Some areas of the state present a particularly high risk of weather-related claims, which means that a local company representative may need to be involved in the quoting and application process.
Details: Best homeowners insurance in Florida
State Farm, the largest U.S. home insurer based on market share, has local exclusive agents in more than 100 communities throughout Florida, which might be appealing if you like handling your insurance needs in person. Although the company’s average premium is already lower than Florida’s average, State Farm offers several ways to save on your home insurance. For example, if you take extra precautions by installing impact-resistant roofing materials, you may qualify for a discount.
Kin is a regional carrier writing only in the risky states of Florida and Louisiana. The carrier is newer — it was founded in 2016 — but it takes a unique approach to rating policies and handling claims. Kin not only uses your home’s size and feature information to rate your policy, but it also takes property records, permit data and aerial imagery into account. After a claim, Kin has technology that can use weather reports to pinpoint homes that may have damage. The company could proactively reach out to policyholders to ask them to assess their property, potentially alerting them to damage they didn’t know was there.
Chubb may be a good choice for Florida homeowners with high-value homes. A few of its policy highlights include extended replacement cost coverage to rebuild your home or a cash settlement option if you decide not to rebuild after a covered loss. Chubb offers numerous extras included in its policies, which could benefit homeowners, such as tree removal and home inspections. Although its coverage comes at a higher-than-state-average price tag, Chubb offers some of the most robust protection in the state.
Although Tower Hill now offers coverage in 17 states, the carrier was founded in Gainesville, Florida, and is intimately familiar with the difficulties of the Florida home insurance environment. The company offers standard policies and options for high-value homes with its Prime Plus and Spire programs. Homeowners may be able to choose from multiple endorsements to personalize their coverage, including screened enclosure coverage, which could come in handy for Florida homeowners with screened porches or patios.
Allstate offers Florida home insurance through its Castle Key Insurance Company subsidiary. The carrier offers numerous discounts, such as savings for being a new home buyer or having a good payment history. With exclusive and independent agents in nearly 200 cities throughout the Sunshine State, there’s likely an Allstate agent close to you who may be able to help you with your Florida home insurance needs. Allstate agents may also be able to help you work with an insurance broker if they cannot write your policy.
Additional Florida home insurance companies to consider
Who this may be best for: Homeowners who want to support a local company
Florida Peninsula only sells home coverage in the Sunshine State, so it might be a good choice if you want to keep your coverage local. You might choose to keep your coverage relatively basic if budget is your primary concern, or you could choose from an array of endorsements to build a most robust policy. J.D. Power and AM Best do not rate Florida Peninsula because of its smaller market share, but the company, which is based in Boca Raton, carries an A (Exceptional) financial stability rating from Demotech.
Who this may be best for: Homeowners who can’t find coverage elsewhere
Citizens is Florida’s “Fair Access to Insurance Requirements” (FAIR) plan carrier, which means it’s a state-backed insurance company of last resort. To qualify for coverage with Citizens, you must either show that you haven’t been able to get coverage in the private home insurance market or that the quotes you receive are more than 20 percent higher than a comparable quote from Citizens. Although Citizens may be the only option in some cases, that doesn’t mean you’ll have to sacrifice coverage. The carrier does offer a few useful endorsements, including sinkhole coverage and replacement cost on personal property. Citizens was recently approved for a 6.4 percent rate increase on home insurance policies, though, so despite being able to offer below-market rates, your premium could still be substantial.
Learn more: Citizens Insurance review
How much does home insurance in Florida usually cost?
The average cost of homeowners insurance in Florida is $1,648 per year for a $250,000 dwelling coverage policy. This is about 19% higher than the national average premium of $1,383 per year for the same amount of coverage.
Several additional factors also affect your Florida insurance premium:
- Your home’s location may have the most significant impact on your property insurance rate and the availability of standard coverage.
- Your home’s age
- Your roof’s age
- Your marital status
- Your credit-based insurance score
- Your claims history
Average annual premium by dwelling coverage
The amount of coverage you purchase is one of the biggest factors that impacts your home insurance premium. More coverage generally costs more money, but also provides more financial protection. Below are the average rates by coverage level for each of our top picks for Florida home insurance.
Keep in mind, though, that dwelling coverage isn’t the only coverage type on a home insurance policy. Your dwelling coverage covers the structure of your house, while your liability coverage, for example, protects your finances from the fallout of injuries and damage to the property of others that you are found at fault for. Increasing or decreasing either coverage type — or any of the other types of home insurance coverage on your policy — will affect your premium.
What does home insurance cover in Florida?
Understanding what your Florida home insurance covers is important when building a policy that meets your needs. Florida is a prime target for tropical storms, and the state endures more hurricane landfalls than any other state in the country. Due to the high possibility of hurricanes and flooding, Florida homeowners should consider the potential damage resulting from these occurrences when choosing their insurance coverage.
Here are some of the most common types of damage that cause Floridians to file home insurance claims:
- Floods and water damage: Heavy rains and storm surges can cause extensive flooding and water damage, even to inland locations. However, flood damage is not covered in a standard homeowners insurance policy, so you will likely need to purchase a separate flood insurance policy.
- Wind:<.b> In Florida, wind-related damage can be incredibly costly. Home insurance typically includes windstorm coverage, and in Florida, carriers are required to cover hurricanes and tropical storms. However, a separate hurricane deductible is required for named storms and will typically be 1 to 5 percent of your dwelling coverage amount.
- Fire: Hurricanes and extreme weather can cause damage to your home’s electrical system, which might start a fire. The good news is standard home insurance policies cover accidental fire damage, but you should ensure you have enough coverage to pay for your home and belongings in the event of a total loss.
4 tips for saving money on homeowners insurance
Insuring a home in Florida isn’t likely to be cheap. Having realistic expectations for your premium may be important as you shop for coverage. However, there are some strategies you can use to find the lowest premium possible:
- Understand your coverage needs: While finding cheap coverage may be important, price isn’t everything. Before you try to find the lowest-priced policy, be sure you know what kind of coverage and what levels of coverage you need. Undercutting your coverage to get a lower rate could leave you in a stressful situation if you file a claim.
- Shop around: As you can see from the average rates of our top picks, rates vary widely between companies. Shopping around and comparing quotes can help you see how different companies stack up for the coverage you need.
- Install wind-mitigation features: By law, Florida home insurance companies have to offer you discounts for certain wind-mitigation features like roof straps and hurricane shutters. Not only could these features help protect your home from damage and give you peace of mind, but they could lower your insurance premium.
- Maintain your roof: Newer roofs generally help qualify you for lower rates, since it’s less likely that they’ll be damaged than older roofs. In a state so prone to wind damage, having a newer roof, or at least a well-maintained roof, could help you save.
In the news
Florida’s home insurance market has been incredibly turbulent in 2022. Despite insurance reform bills being passed in late May, the market continues to struggle. Insurance companies are finding it difficult, if not impossible, to remain solvent in a state where the risk of widespread damage is high and the risk of crippling litigation is higher.
- Many insurance carriers have voluntarily left Florida, gone insolvent or tightened their underwriting restrictions, making it difficult for many homeowners to find coverage.
- Fraudulent roofing claims are to blame for most of the chaos in the Florida home insurance space.
- Demotech recently announced that it was considering downgrading the financial strength ratings of 27 Florida property insurance companies, which could cause issues for homeowners with federally-backed mortgages.
- The Florida Office of Insurance Regulation has created a reinsurance program through Citizens as a temporary solution to the downgrade issue.
- The situation in Florida is rapidly changing. Bankrate is monitoring the situation to ensure you remain informed.
How to find the best home insurance in Florida
Florida is a tough home insurance market. Understanding this before you begin requesting quotes may help you set realistic expectations. If you live in an inland area, you may have more home insurance options, but if you live in a higher-risk area, especially near the coast, your shopping process may be more challenging. These tips could help you secure coverage in the Sunshine State:
- Start shopping early: When shopping for home insurance in Florida, you will likely want to give yourself plenty of time to secure coverage. You may need more time to find a homeowners insurance company that fits your needs due to the nature of the market.
- Check with your preferred provider: Although coverage in higher-risk areas may be restricted, asking if your preferred insurance carrier writes homeowners policies in your ZIP code can’t hurt.
- Talk with a local agency: Local insurance agents are likely to have experience insuring homes in higher-risk zones.
- Work with a broker: An insurance broker works for you, not an insurance company. If you are not sure where to turn to get coverage in a higher-risk area, a broker could help you navigate the complex market.
If you cannot find homeowners insurance coverage, you may need to turn to Citizens Property Insurance Corporation as a last resort. Citizens is Florida’s “Fair Access to Insurance Requirements” (FAIR) plan carrier. Although coverage might not be as robust as a private insurer plan, Citizens typically offers standard coverage to homeowners who have no private market options, but it is not guaranteed based on your risk profile. In some cases, you may need to obtain coverage through a surplus carrier, which is a non-admitted insurer that is not regulated by the state’s Office of Insurance Regulation and can charge above-market rates.
Frequently asked questions
How Bankrate chose the best home insurance companies in Florida
To find the best homeowners insurance in Florida, Bankrate started by gathering current 2022 rates from Quadrant Information Services. We then reviewed each company’s coverage offerings and discounts to see which carriers offered the most impactful combination of features for Florida homeowners. We also analyzed J.D. Power’s customer satisfaction scores, as well as AM Best and Standard & Poor’s (S&P) financial strength ratings, to help homeowners get a well-rounded view of each insurance provider.
Bankrate utilizes Quadrant Information Services to analyze 2022 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Rates are weighted based on the population density in each geographic region. Quoted rates are based on 40-year-old male and female homeowners with a clean claim history, good credit and the following coverage limits:
- Coverage A, Dwelling: $150,000, $250,000, $350,000, $450,000, $750,000
- Coverage B, Other Structures: $15,000, $25,000, $35,000, $45,000, $75,000
- Coverage C, Personal Property: $75,000, $125,000, $175,000, $225,000, $375,000
- Coverage D, Loss of Use: $30,000, $50,000, $70,000, $90,000, $150,000
- Coverage E, Liability: $300,000, $300,000, $300,000, $300,000, $500,000
- Coverage F, Medical Payments: $1,000
The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).These are sample rates and should be used for comparative purposes only. Your quotes will differ.
Bankrate Scores primarily reflect a weighted rank of industry-standard ratings for financial strength and customer experience in addition to an analysis of quoted annual premiums from Quadrant Information Services, spanning all 50 states and Washington, D.C. We know it is important for homeowners to be confident their financial protection covers the likeliest risks, is priced competitively and is provided by a financially-sound company with a history of positive customer support.
To determine how well the best home insurance companies satisfy these priorities, third-party agency ratings from J.D. Power, AM Best, S&P, NAIC, and Moody’s had the most impact on the companies’ Bankrate Scores. As price is a common consideration for homeowners, we analyzed quoted premiums based on 40-year-old male and female homeowners with a home policy with $250,000 in dwelling coverage. This profile, assessed across more than 35,000 ZIP codes in the U.S., provided a basis on which homeowners may compare each provider.
While coverage options, insurer availability, affordability and customer experience are often the top priorities, Bankrate also analyzed each insurer’s online and mobile resources for policy management and claims handling. Insurance is rapidly evolving to keep pace with our digital world, so these aspects also carried weight in determining Bankrate Scores.