Florida is the most expensive state for homeowners insurance, as detailed in the most recent Insurify homeowners insurance report. The average home insurance cost for Florida homeowners in 2023 was $10,996, but Insurify predicts a 7% increase in 2024, to $11,759.1 The cheapest homeowners insurance companies in the state include Travelers, Nationwide, and Security First Insurance.

Homes in Florida are at risk of hurricane damage, something a basic homeowners insurance policy typically doesn’t cover. You’ll need to add more coverage to protect your home from these disasters.

Here’s what you should consider in your home insurance search in Florida, including how to compare coverage options.

Best home insurance companies in Florida

From Tower Hill Insurance to Travelers, you have many quality options for homeowners insurance in Florida. Although some may have lower rates than others, the best home insurance company for you is the one that provides the coverage you need at a rate you can afford.

Whether you need superior coverage for potential flood damage or just the basics to fulfill your insurance obligations, consider Stillwater, American Integrity, and Citizens Property Insurance Corporation among the insurers you’re reviewing.

Cheapest rates: Travelers

Best insurer for discounts: Stillwater

Best insurer for seasonal residents: American Integrity

American Integrity is a Florida-based insurance company primarily selling property insurance. Founded in 2006, American Integrity has a strong financial rating and holds reinsurance so that it can fully satisfy claims during catastrophic hurricane seasons in Florida.

Along with having some of the lowest average dwelling coverage rates in the state, American Integrity can fulfill the needs of part-time Florida residents. It offers insurance for permanent residents, vacant homes, rentals, and seasonal dwellings, plus flood insurance. This can quell the concerns of seasonal residents worried about damage to their properties while they’re out of state.

Best insurer for people who don’t qualify for other coverage: Citizens Property Insurance Corporation

Citizens Property Insurance Corporation is a not-for-profit government entity that provides insurance to eligible Florida property owners who can’t obtain coverage from a private insurance company. Founded via an act of the Florida Legislature in 2002, it’s one of the leading insurers in the state.

Citizens is a last resort for homeowners who can’t afford a policy elsewhere. Along with limited coverage options and eligibility requirements, another downside of Citizens is its legal ability to apply additional surcharges, assessments, and adjustments to its policyholders.

Cheapest home insurance in Florida

State Farm has the cheapest home insurance policies in Florida, with average monthly premiums of $383 for a $300,000 dwelling coverage policy. With average rates climbing as high as $749 for the same dwelling coverage policy through Chubb, State Farm offers substantially lower rates for qualifying homeowners.

Remember that companies may quote you rates that are different from your neighbor’s homeowners insurance policy. That’s why it’s important to compare offers from multiple insurers to find the best policy for you.

Here, you can see a collection of average annual rates for $300,000 in dwelling coverage from Florida insurers.

Cost of homeowners insurance in Florida

The average cost of home insurance in Florida in 2023 was $10,996 annually. Insurify projects average annual home insurance costs will increase to $11,759 by the end of 2024.

Your home insurance premium ultimately depends on your level of dwelling coverage and your deductible, but how close you live to the coast and your risk of flooding and hurricanes also have a significant effect on premiums.

Why homeowners insurance rates are rising in Florida

One of the biggest issues increasing insurance rates in Florida is the number of insurance companies leaving the state, sending non-renewal notices, and falling into insolvency or a receivership process.

In 2023, Farmers Insurance became the latest major insurer to stop providing homeowners insurance coverage in Florida. As of May 2024, 14 other insurers are in liquidation and will join more than 300 other insurance companies that have completed the receivership process, according to the Florida Department of Financial Services.4

Much of this is due to two reasons. First, Florida has increased instances of litigation and fraudulent roof-replacement schemes, according to Sean Kevelighan, CEO of the Insurance Information Institute.6 This has forced insurance companies to incur legal costs higher than the cost of paying out insurance claims. Since Florida is the state most impacted by hurricanes, homes there are also at an increased risk of claim filing due to storm damage.

How to get cheap homeowners insurance in Florida

Insurance fraud, natural disasters, and a dwindling insurer market are all making Florida home insurance more expensive than the national average.

Whether you live in a hurricane-prone part of South Florida or own a rental property in a less populated area, like Chipley, you should always try to get the lowest rate possible for the coverage you need.

These tips can help you secure the most affordable rates possible:

1. Shop around for quotes

Even though some insurance companies have pulled out of Florida in recent years, the market is still competitive. You may be able to find lower-than-average home insurance costs simply by shopping around for home insurance quotes.

Many insurance companies only have general information and data on their websites, which is why you should ask an insurance agent how to lower the cost of your home insurance while still maintaining your desired coverage.

2. Make older homes more disaster-resistant

With the threat of storm damage, older homes may not have the latest structural features that protect against wind and other severe weather threats. By modernizing or updating your roof, windows, electrical systems, and more, you may qualify for lower premiums.

3. Bundle your homeowners insurance with another insurance policy

Some of the best homeowners insurance companies in Florida offer multiple insurance products. State Farm, for instance, offers discounts for customers who bundle their home insurance with other policies, like life insurance or auto insurance. You may also be able to get additional protection for your lifestyle at a cheaper combined rate than purchasing two policies from separate companies.

4. Consider the complete costs of homeownership before you buy a house

Remember that flood insurance isn’t part of a standard homeowners policy. Research areas where the cost of homeowners insurance has increased in recent years, paying specific attention to cities that have endured many hurricanes over the last decade. Understanding which neighborhoods have a higher flood risk can help you identify places with lower rates.

Cost of homeowners insurance by dwelling coverage amount

Dwelling coverage applies to your personal residence and attached structures, like a home with an attached garage, deck, patio, or porch. Even if your mortgage lender requires a minimum amount of dwelling coverage, you have the option to increase it.

You may want to increase your dwelling coverage if you have a high-value home, but remember any coverage increase will increase your premium.

Cost of homeowners insurance by deductible

A deductible is the amount you must pay before your insurance company starts paying for the losses covered under the policy. In most cases, a higher deductible will lead to a lower premium.

Florida is one of the few states that also has a separate hurricane deductible for some homeowners. You must pay this deductible before your insurance starts paying for any hurricane-related damages covered in the policy.

Here, you can see how your premiums shift based on varying deductibles for $300,000 in dwelling coverage.

Florida homeowners insurance rates by city

Homeowners insurance rates can vary from state to state based on several factors. For instance, Florida is more hurricane-prone than states like New York and Virginia, which raises rates in Florida.

Rates can also vary from city to city or even between ZIP codes within a state.

For example, average rates are lower in Jacksonville than in Miami. One reason may be that Miami has a higher risk of hurricane damage than Jacksonville. Miami-Dade County also has more than double the population of Duval County. Another reason may be that the Jacksonville Fire and Rescue Department has 64 fire stations serving 918 square miles, while Miami-Dade Fire Rescue has 68 stations serving more than 2,000 square miles.

In the table below, you can see how rates fluctuate between some of Florida’s largest cities for $300,000 in dwelling coverage.

How much homeowners insurance do you need in Florida?

Unlike car insurance, Florida law doesn’t require you to have homeowners insurance. You can purchase a house in cash without insuring it. But if you need a mortgage loan, most mortgage lenders require you to take out homeowners insurance to protect the property for the length of the loan.

For protection beyond your lender’s requirements, you can increase the amount of basic dwelling coverage in addition to purchasing optional insurance products, like identity theft insurance or medical expenses coverage. Even if you don’t need to buy home insurance from a Florida home insurance company, you should purchase it to protect your home and financials.

Here’s how much coverage Insurify recommends for each main home insurance coverage type:

• Dwelling: Enough to pay to rebuild or repair your home to its original condition. Consider the current cost of construction materials in labor in Florida. For the most coverage, you may want enough to account for current market rates.

• Other structures: Enough to repair or rebuild any other structures you have to their original condition. This can include detached garages, pools, sheds, and gazebos. You may want to consider current market rates for this as well.

• Loss of use: Enough to pay for temporary or extended lodging and food for you and your family.

• Personal property: The minimum coverage typically ranges between 50% and 70% of your dwelling coverage limit. You should have enough to replace your most important personal belongs, or your full home inventory.

• Personal liability: The minimum coverage typically starts at $100,000, though you should have between $300,000 and $500,000, or an excess liability or umbrella policy.

• Medical payments: Same parameters as above. Minimum is usually $100,000, but experts recommend between $300,000 and $500,000, or an excess liability or umbrella policy.

What are some of the biggest risks when owning a home in Florida?

Florida residents must plan for potential perils throughout the year, including severe thunderstorms, wildfires, extreme heat, sinkholes, and erosion. Here are three of the most common and impactful perils a Florida homeowner or renter must prepare for: