| What drives up the rates of Florida Homeowners | | | | 10% of Dwelling coverage adjustments that affect |
| Insurance? | | | | your premium can be made from 10%,5%,2% or |
| According to the Florida department of insurance | | | | excluded altogether. |
| here are but a few of the driving forces: | | | | 4. Lower Personal Property coverage Everything not |
| - Increased Reinsurance Costs of insurers | | | | attached you own- Appliances, Furnishings Standard is |
| - Premium reductions from the full implementation of | | | | 50% of the dwelling amount Some carriers allow you |
| mitigation discounts | | | | to decrease anywhere from 45% to minimum of |
| - Fraud and Inflated Claims | | | | 25% |
| - Erroneous or fraudulent wind mitigation credits at | | | | 5. Lower Owners Liability Coverage- Can be adjusted |
| the retail level | | | | either $100,000 or $300,000 |
| - Replacement cost methodology | | | | 6. Lower Medical payments to others- Optional |
| - Reported sinkhole claims | | | | $2000, $3000, $4000,$5000 |
| - Catastrophic Assessment fees applied due to | | | | 7. Raise Hurricane Deductible- flat $500, 2%, 5,%, |
| 2004-05 hurricanes | | | | 10%, or Excluded coverage |
| These increased cost and claim payouts by insurers | | | | Research Discounts You May Qualify For: |
| affect the capital and stability that insurers need to | | | | Ask your agent for discounts up front, some |
| remain profitable and stable in order to continue | | | | companies don't offer them or have discontinued |
| paying claims therefore a necessity that the cost be | | | | them. Discounts can be applied for the following: |
| passed on to insured's.. Additionally the selections of | | | | protective devices, newer home credit, wind |
| private homeowner's insurance companies are rapidly | | | | mitigation, type of roof. |
| evaporating providing fewer and fewer choices. So | | | | 1. Protective Devices- Monitored Fire alarm, Burglar |
| what can you do to at least me informed and | | | | alarm, Gated community, guard gated community |
| prepared. | | | | 2. Age of home- all homes built in 2002 or newer will |
| Homeowners Saving Tips to Consider when | | | | receive a 68% new home discount on the |
| Purchasing a New Home | | | | hurricane-wind portion of your premium. |
| Choose a smaller Home -Square feet- size is still king | | | | 3. Wind Mitigation Credits- insurance companies are |
| the bigger the home the higher the replacement cost | | | | required Homes built after 2001 are automatically |
| Choose a Home with Updates - avoid older homes | | | | given the wind mitigation discount due to building |
| with outdated wiring Knob and Tube, Plumbing and | | | | code requirements however homes built prior to 2001 |
| heating, AC | | | | which have added a new roof after 2001 can provide |
| Choose a home with Fire Protection -Distance to fire | | | | a wind mitigation inspection from the roofing |
| station and fire hydrant | | | | contractor or order a "Uniform Mitigation Verification |
| Consider the age of the roof 10 years or newer for | | | | Inspection" form (1802 form) about $90-$150 the |
| shingle roof can be 15 for tile roof | | | | saving can make a big difference in your |
| Consider Construction materials- masonry block built | | | | homeowners annual premium depending on several |
| over frame built | | | | factors by law to offer Windstorm Loss Mitigation |
| Consider Flood Zones- Is the home in a flood zone ( | | | | discounts to homeowners that qualify. WLM is the |
| Your lender may require additional flood insurance) | | | | act of minimizing the amount of loss that is caused |
| Current Homeowners Seeking Best Rate at Renewal | | | | by wind damage to your home. |
| or Replacement | | | | 4. Roof Type- HIP roof credit provides a substantial |
| Avoid Claims- Claims are reported to CLUE | | | | credit for the roof elevation type. Thr roof must not |
| (Comprehensive Loss Underwriting Exchange) in | | | | include more than 50% of any other type of |
| some instances even if you do not choose to move | | | | elevationon any one side. |
| forward with the claim, example suppose you had | | | | 5. Multi-Policy discounts- offer your auto to your |
| water damage from an AC or pipe burst, you filed a | | | | agent to see if you can get a joint policy discount |
| claim and the insurer determined to cost to repair or | | | | 6. Retired homeowner- over 55 discount |
| replace was $2000 and you had a $2500 deductible | | | | Shop Carriers |
| even though the company did not pay out and you | | | | 1. Use an Independent who has access to many |
| covered the cost, this claim could go on the | | | | carrier and let them do the shopping for you |
| exchange and prevent you from qualifying for the | | | | 2. Ask your agent for an annual review each year to |
| most affordable rate or company. | | | | determine any changes or rate options |
| Manage Your Policy Premium Optional Coverages to | | | | 3. Stay abreast of current rate hikes and what |
| Lower Your Premium: | | | | carriers are filing for them |
| 1. Raise your deductibles options are: $500, $1000, | | | | Avoid Carriers who have filed for Recent rate |
| $2500,$5000 | | | | Increase Approval from the State if possible |
| 2. Choosing depreciated personal property over full | | | | Allstate- Castle Key Insurance- Castle Key Indemnity |
| replacement | | | | has filed for average 17.9% |
| Removing optional sinkhole coverage | | | | State Farm- was granted a 14.8 % increase |
| 3. Lower Other Structures Coverage- Detached | | | | Royal Palm- granted 21.7% |
| garage, Fencing, Pool Cages, Pools This is standard at | | | | Citizens-granted 8. |