Florida may be known as the Sunshine State for its vitamin sea, but its months-long hurricane season makes home insurance a vital purchase for any homeowner. Unfortunately, it’s this very risk of hurricane damage and vast coastline that makes the average cost of homeowners insurance in Florida so expensive — averaging $2,643 per year or $220 a month. This is around 39% higher than the national average of $1,899 per year.
But rates continue to rise due to devasting hurricanes, expensive roofing lawsuits, and companies leaving the state due to the high risk of losses. You can learn more about the current state of the home insurance crisis in Florida below and find tips for finding the best home insurance company for your needs.
In the news
Thousands of Florida homeowners facing policy cancellations, higher premiums, and mortgage defaults
After Demotech downgrades several Florida insurance carriers' financial strength and stability ratings, thousands of homeowners are at risk of losing their home insurance.
Jennifer Gimbel • August 5, 2022
Methodology & why you can trust our rates
Policygenius has analyzed home insurance rates provided by Quadrant Information Services in March 2022 for ZIP codes in all 50 states plus Washington, D.C., for a 40-year-old female homeowner with no claim history, good credit, a $1,000 deductible, and the following coverage limits:
Dwelling: $300,000
Other structures: $30,000
Personal property: $150,000
Loss of use: $60,000
Liability: $300,000
Medical: $1,000
All rates based on the above coverage limits except where otherwise noted.
Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.
Best homeowners insurance companies in Florida
Of the companies we looked at, Tower Hill has the lowest annual premiums in Florida at just $1,189 per year, while Citizens Insurance is five times more expensive at $6,019 per year.
This drastic difference in price is because Citizens sells Florida’s Fair Access to Insurance Requirements (FAIR) Plan policies specially designed for high-risk homeowners who’ve been denied coverage by traditional home insurance companies.
Aside from cost, you’ll also want to consider each company’s customer service, claims satisfaction, and coverage options when choosing a provider. This is especially important in Florida, where unpredictable weather and a strained insurance market has led to over 116,000 lawsuits filed against insurance companies in 2021. (To put that into perspective, no other state had more than 900.)
So looking at the five largest home insurance companies in Florida, Policygenius analyzed thousands of quotes to find the average cost of homeowners insurance with each company in 2022. We then looked at 2021 J.D. Power customer satisfaction scores and compared that with the coverage needs of Florida residents to find the best homeowners insurance in Florida.
Company | Average yearly cost | J.D. Power Rating |
|---|---|---|
Universal Property | $2,353 | -- |
Citizens | $6,019 | -- |
State Farm | $2,227 | 835 |
Tower Hill | $1,189 | -- |
ASI Progressive | $1,952 | 821 |
Universal Property is a Florida-based insurance company that provides a relatively standard, but solid home insurance policy. It's an especially good option if you have lots of animals on your property thanks to its special animal liability coverage.
Pros
Covers homes that are generally more difficult to insure
Excellent coverage add-ons, such as replacement cost contents, water backup, equipment breakdown, and service line coverage
Special animal liability coverage available in case your dog or another animal on your property injures someone
Cons
Customer reviews complain of a poor claims experience
Doesn't offer increased dwelling coverage
Minimal discount opportunities
Why Universal Property tops our best list
We like Universal Property thanks to its flexible underwriting criteria. It offers coverage to high-risk homeowners who might struggle to qualify with other insurers — a valuable benefit when so many homes are located in hurricane-prone areas throughout the state.
You also have the option of adding tree and debris removal coverage to your policy — something you’d likely want to consider with the high number of thunder and lightning storms the state sees each year. And you can score discounts for fortifying your home with windstorm protective devices, meaning you’re saving money while keeping your family safe. Talk about a win-win.
How to get a quote
Online through Universal Property
Citizens Insurance offers basic home and wind-only insurance coverage for homes in high-risk coastal areas of Florida. If you're having a difficult time finding a company to insure your home, Citizens is a decent last-resort option.
Pros
Provides homeowners insurance to high-risk homes that are often denied coverage by private insurers
Offers wind-only policies
Sets up catastrophe response centers after natural disasters to offer in-person support to homeowners without power or means of communication
File claims over the phone or online 24/7/365
Low customer complaint ratings in 2020
Cons
Rates are around 15% higher than the state average
Limited additional coverage options
Read our full review of Citizens Property Insurance
Why Citizens tops our best list
Although Citizens Insurance doesn’t come cheap, expensive insurance still provides much-needed protection. And that’s why we like Citizens. It’s helpful for Floridians in a pinch who’ve been denied coverage from other insurers due to their proximity to the coast, past history of claims, or poor insurance score.
But that doesn’t make it a second-rate insurer. In fact, it has a lower rate of customer complaints than other insurers on this list, according to the NAIC Complaint Index. [1] One reason for this might be its mobile catastrophe response centers it dispatches throughout the state following a hurricane, tornado, or other natural disaster to make filing claims easier for impacted policyholders.
How to get a quote
Reach out to a Citizens Insurance agent in your area — you can use this tool to help you find a Citizens agent near you
There's a reason State Farm is one of the top-rated insurance companies in the U.S. — its customer satisfaction ratings are through the roof, it offers a slew of coverage add-ons for full protection, and makes filing claims through its mobile app a breeze.
Pros
Top-tier coverage add-ons, including equipment breakdown, water backup, and service line coverage
Get up to $1 million in personal liability coverage
Score discounts for bundling, installing security devices, and choosing a high deductible
File and track claims online, over the phone, in person, or through its mobile app
High customer satisfaction and financial strength ratings
Cons
No discounts for first-time homebuyers or going a year without a claim
Read our full State Farm home insurance review
Why State Farm tops our best list
Earning a stellar 835 out of 1,000 J.D. Power rating — the highest of any insurer on this list — State Farm is known for its top-notch customer service and seamless claims filing. [2] And its coverage isn’t lacking, either. We especially love that it doesn’t require a larger deductible for roof damage — a common claim for Florida homeowners. This is a huge perk considering Florida lawmakers have been pushing to allow insurers to charge roof deductibles of up to 2% of your dwelling coverage limit. [3]
How to get a quote
Online through State Farm
Tower Hill stands out thanks to its robust flood insurance options and contractor network program that makes repairing your home after a natural disaster as seamless as possible.
Pros
Offers 3 flood insurance options, including a private flood endorsement and standalone policy
Contractor network program for easy repairs that come with a 5-year warranty for workmanship
Lower-than-average customer complaints according to the NAIC
Cons
Little information about discounts or coverage options available online
Why Tower Hill tops our best list
We’re a big fan of Tower Hill — especially for high-net-worth Floridians. The insurer offers two special policies with more robust coverage limits for homeowners with larger, more expensive homes. Its enhanced debris removal coverage will come in handy with the high winds that accompany hurricane season. And its rare screened enclosure coverage will keep your screened-in pool protected from all of the elements.
Add to this its personal liability limits that span up to a whopping $1 million and its personal property replacement cost coverage, and you’d be hard-pressed to find another insurer on this list that ensures your home is this protected.
How to get a quote
Online through Policygenius or Tower Hill
ASI Progressive offers robust home insurance coverage and ways to save. Our fave perk? Its bundling discount, which lets you save up to 20% on premiums and only requires you to pay one deductible if your home and car are damaged in the same event.
Pros
Policies are backed by Progressive Insurance
Flood insurance coverage add-on available — a rarity among insurers
Save up to 20% when you bundle your home and auto insurance
Score discounts for owning a new home, signing up for e-bills, paying your premiums in full for the year, and more
Only pay one deductible if your home and car are damaged in the same incident and you bundle your home and auto insurance together
File and track claims online
Cons
Below-average claims satisfaction ratings
Minimal information about coverage add-ons available online
Why ASI Progressive tops our best list
Florida homeowners who live near the coast will appreciate ASI Progressive’s flood insurance coverage add-on — meaning you won’t have the hassle of taking out a separate policy with another insurer.
We also like ASI Progressive for its bundling option. Insure both your home and car with ASI and you’ll not only score a huge discount, but you’ll only have to pay one deductible if your home and car are damaged in the same incident. This means if a hurricane knocks a tree onto your home and car, or rising ocean waters flood your garage and prized Corvette, you’d only be on the hook for one deductible.
How to get a quote
Online through Policygenius or ASI Progressive
Cheapest homeowners insurance companies by city in Florida
Looking at average home insurance costs for the 15 most popular insurers in Florida, we found that the cheapest homeowners insurance companies in the state are Tower Hill and ASI Progressive.
You’ll notice that inland cities situated around Gainesville (Grandin, Hollister, and Interlachen) have some of the lowest rates, since they’re less likely to sustain hurricane damage.
Meanwhile, towns in southeast Florida along the Atlantic coast (Pompano Beach, Fort Lauderdale, and Hollywood) have some of the highest rates — not surprising considering their risk of hurricane and storm surge damage.
But your home’s location isn’t the only factor that affects your home insurance rates. Everything from the size of your home to the age of your roof to your credit history play a role in determining your cost of homeowners insurance.
Regardless of all of these factors, it’s still possible to find affordable home insurance in cities throughout Florida, as evidenced by the companies highlighted in the table below.
City | Company | Average yearly cost |
|---|---|---|
Cape Coral | Tower Hill | $754 |
Clearwater | Tower Hill | $920 |
Coral Springs | Tower Hill | $1,938 |
Fort Lauderdale | Chubb | $2,039 |
Gainesville | Tower Hill | $667 |
Hialeah | Chubb | $1,026 |
Hollywood | Chubb | $2,039 |
Jacksonville | Tower Hill | $1,022 |
Lakeland | Tower Hill | $1,207 |
Miami | Chubb | $1,186 |
Miramar | Chubb | $919 |
Orlando | Tower Hill | $1,224 |
Palm Bay | Tower Hill | $973 |
Pembroke Pines | Chubb | $919 |
Pompano Beach | Chubb | $2,039 |
Port St. Lucie | Chubb | $861 |
St. Petersburg | UPC Insurance | $764 |
Tallahassee | Tower Hill | $678 |
Tampa | Tower Hill | $1,353 |
West Palm Beach | Chubb | $1,079 |
Florida home insurance crisis — updates for 2023
Florida homeowners know all too well how unstable the state’s home insurance industry is.
Every week, there's a new story in the news about insurers going out of business or leaving the state, homeowners struggling to get their claims paid out, roofing lawsuits between homeowners and their insurers or contractors, and sky-high rates that have become unaffordable for many — if they can even qualify for coverage at all.
Here, we break down the latest updates in Florida's ongoing insurance crisis and give tips for navigating the complex insurance market as you shop for coverage.
A breakdown of the home insurance crisis in Florida
Here are the developments over the last two years that have put Florida’s home insurance market on the brink of collapse:
Hurricanes Nicole and Ian cause as much as $60 billion in losses in 2022
Hurricane Nicole, which hit the state in November 2022, is expected to have caused no more than $750 million in losses, according to a CoreLogic prediction. [4] However, add to that the devastating destruction caused by Hurricane Ian just two months prior, and you’re looking at loss estimates totaling as high as $60 billion for just two Florida weather events in 2022.
Disreputable home insurance companies slash claim payouts for losses
In March 2023, Florida Peninsula Insurance and Heritage Property Insurance were investigated by The Washington Post for underpaying claims by more than 80% after Hurricane Ian. [5]
Even worse, the American Policyholder Association, a nonprofit insurance industry watchdog group, reported several cases of what appears to be “systemic criminal fraud perpetrated to cheat policyholders out of fair insurance claims.” It has plans to submit criminal referrals to authorities in Florida and several other states later on in 2023.
Florida gets the majority of home insurance lawsuits over claims each year
Florida sees 79% of all home insurance lawsuits over claims filed nationwide. However, the state of Florida only makes up 9% of the nation’s home insurance claims, according to the Florida Governor’s Office. [6]
“Floridians are seeing homeowners insurance become costlier and scarcer because for years the state has been the home of too much litigation and too many fraudulent roof replacement schemes,” says Sean Kevelighan, CEO of the Insurance Information Institute. [7]
Florida insurers consistently file for double-digit rate increases each year
To recoup the losses from the combination of natural disaster claims and litigation expenses, Florida insurance companies are consistently filing for rate increases each year with the Florida Office of Insurance Regulation.
Just last year, Florida insurer First Community Insurance raised its average rate by almost 45% for more than 25,500 Florida homeowners. In March 2023, Citizens Property Insurance filed a 14.2% average rate increase on all of its 1.2 million home insurance policies in Florida. And Kin Insurance asked for a whopping 61.5% rate increase on its standard home insurance policies. [8]
While these rate increases need to be approved by the Florida Office of Insurance Regulation before they take effect, they’re still a startling indication of the rising cost of home insurance in Florida.
Insurers’ ratings downgraded due to poor financial strength and stability
Demotech, an Ohio-based rating firm that measures the financial strength and stability of 40 insurance carriers, downgraded the ratings of five Florida home insurance carriers in August 2023: UPC Insurance, Weston, FedNat Insurance, Bankers Specialty Insurance, and First Community Insurance. This led to many going out of business or leaving the state altogether. [9]
Over 10 Florida home insurance companies went bankrupt
As of April 2023, 11 home insurance companies in Florida went bankrupt over the last two years and are in the process of liquidation, including:
American Capital Assurance
Avatar Insurance
FedNat Insurance
Florida Specialty
Guarantee Insurance
Gulfstream Insurance
Southern Fidelity
St. Johns Insurance
UPC Insurance
Weston
Windhaven
This left hundreds of thousands of homeowners scrambling to find a new home insurance company, forcing many to get coverage through Citizens Property Insurance — Florida’s state-mandated FAIR Plan designed as a last-resort option for homeowners struggling to find coverage on the private market.
How to find a reputable home insurance company during Florida's insurance crisis
Even with the volatile home insurance market, it’s possible to find a reputable home insurance company in Florida if you do your homework. Here are a few tips to keep in mind as you compare home insurance companies in Florida.
Research every company's claims satisfaction scores
With the news that Florida Peninsula Insurance and Heritage Property Insurance were slashing claim payouts to homeowners after Hurricane Ian, now it’s more important than ever to find a company with high claims satisfaction. You can check J.D. Power’s 2023 Claims Satisfaction Study or the National Association of Insurance Commissioners Complaint Index for a look at what companies fare well when it comes to claims and customer service.
Consider storm-proofing your home with wind-resistant features
If you live in an area of Florida at high risk of hurricanes or tropical storms, installing wind-resistant features can make your home more attractive to home insurance companies and can even help lower your rate. Here are a few wind-resistant features to consider installing:
Strong, secondary water-resistant layer on your roof
Hip roof made of metal that slopes downward
Storm-proof garage doors
Roof-wall attachments that use double wraps
Impact-resistant coverings over all windows and doors with glass openings
If you’re not sure where to start or whether your home already has any of these features, you can reach out to a wind mitigation inspector for an assessment.
Research the financial strength rating of any company you're considering
With more than 10 Florida home insurance companies going bankrupt over the last year, it’s vital to research the financial strength of any home insurance company you’re considering to ensure they have the funds to pay out claims in the wake of a disastrous hurricane or tropical storm. The best way to do this is by checking the company’s financial strength rating with AM Best, Standard & Poor's, Moody’s, or Demotech. You can find this information on our home insurance company reviews.
Take advantage of the My Safe Florida Home program
The My Safe Florida Home program is designed to help homeowners mitigate hurricane risk by providing free home inspections that identify and recommend improvements that can be done to your home. Eligible homeowners who live in participating areas of Florida can then apply for grants to get their homes retrofitted with these improvements to lessen the risk of hurricane damage.
Stay up to date on the latest Insurer Accountability bill in the works
A new bill was submitted to the Florida Senate in March 2023 that would increase fines for insurance companies practicing bad behavior, require insurers to report their claims-handling policies to the state, and give insurance regulators more oversight to examine insurer conduct. [10]
Shopping for home insurance in Florida
Once you’re ready to shop for homeowners insurance in Florida, a Policygenius expert can help you navigate your coverage needs and help you find the best deal.
This will be helpful considering what a mess the Florida insurance market is. Insurers have stopped writing new policies left and right due to a turbulent market, high risks due to worsening storm seasons, and an outdated property insurance system.
That’s why it’s extra important to compare insurance companies to find the right one for you — paying close attention to coverage limits, policy deductibles, and ease of claims.
In this section, we break down the average annual home insurance rates in Florida for different coverage and deductible levels, as well as the cheapest and most expensive home insurance companies in the state for individuals with a poor credit score, dog owners, and pool owners.
Florida home insurance costs by coverage amounts
One of the most important (and expensive) parts of your home insurance policy is your dwelling coverage, since it protects the physical structure of your home from covered hazards like hurricanes and fires.
How much dwelling coverage you purchase should be based on the replacement cost of your home — not its market value. That means even if you paid $600,000 for a home that would really only cost $400,000 to rebuild — you’d only need $400,000 in dwelling coverage.
As you can see, the higher your dwelling coverage limit, the higher your premiums. In Florida, the most significant rate jump occurs in the $400,000 to $500,000 range — with a nearly $900 difference in premiums between these two coverage levels.
Dwelling coverage amount | Average yearly cost |
|---|---|
$100,000 | $1,012 |
$200,000 | $1,827 |
$300,000 | $2,643 |
$400,000 | $3,504 |
$500,000 | $4,392 |
Liability coverage is the part of your home insurance policy that protects all of your assets — think your home, cars, investments, and that Jet ski you just bought. It covers medical bills, attorney fees, and damages if someone is injured or their property is damaged while at your home and you’re found legally responsible.
More liability coverage doesn’t necessarily mean higher rates in Florida. In fact, you could pay nearly $1,000 less for $500,000 in liability coverage versus $100,000 in coverage — making it a great value add for your policy.
Liability coverage amount | Average yearly cost |
|---|---|
$100,000 | $3,188 |
$200,000 | $2,307 |
$300,000 | $2,402 |
$500,000 | $2,181 |
Florida home insurance costs by deductible amount
Your home insurance deductible is the amount you have to pay out of pocket when you file a claim before your insurance company jumps in to cover the rest. In general, the higher your deductible, the lower your rates — and vice versa.
But before you choose a higher deductible, consider your risk of filing a claim — especially if you live in an area of Florida that’s often hit hard during hurricane season. You’ll want to make sure you have the savings to pay that high deductible — or else you won’t be able to file a claim at all.
Deductible amount | Average yearly cost |
|---|---|
$500 | $2,953 |
$1,000 | $2,643 |
$2,000 | $1,864 |
Home insurance discounts in Florida
Most home insurance companies offer discounts for adding protective devices to your home, since it lowers your risk of filing a claim. While having just a deadbolt, smoke alarm, or burglar alarm won’t drastically lower your rates in Florida, having all three might put a small dent in your premium.
Discount | Average yearly cost |
|---|---|
Dead bolt | $2,643 |
Smoke alarm | $2,643 |
Burglar alarm | $2,522 |
Home insurance companies in Florida for dog owners
Surprising to many, another factor that impacts your home insurance rates is whether or not you own a dog, since there’s a greater risk of a guest getting injured while at your home. To offset that risk, many insurers charge higher rates for dog owners — especially if you have a pit bull, German shepherd, or another dog breed they consider “aggressive.”
Dog-loving homeowners in Florida might want to consider Tower Hill first, since they have the cheapest home insurance rates for dog owners at $1,189 per year. Alternatively, Citizens has the highest rates for homeowners with a dangerous dog breed at $6,019 per year.
Company | Average yearly cost |
|---|---|
Tower Hill | $1,189 |
ASI Progressive | $1,977 |
State Farm | $2,227 |
Universal Property | $2,353 |
Citizens | $6,019 |
Home insurance companies in Florida for poor credit
Your credit score also plays a role in your home insurance premiums. Homeowners with lower credit scores generally see higher rates, since insurers consider you more likely to file a claim.
With an average rate of $1,898 per year, Tower Hill has the cheapest home insurance rates in Florida for a homeowner with poor credit, while Citizens’ average yearly premium of $6,019 is the highest.
Company | Average yearly cost |
|---|---|
Tower Hill | $1,898 |
Universal Property | $2,353 |
ASI Progressive | $3,367 |
State Farm | $3,816 |
Citizens | $6,019 |
Home insurance companies in Florida for pool owners
Homeowners with a pool will also see higher rates than those without, since again there’s a greater risk of someone getting injured while at your home.
So what company is the friendliest toward Florida pool owners? That would be Tower Hill, with the cheapest average rate of $1,189 per year. Meanwhile, Citizens (shocker) is the most expensive insurer for pool owners with a $6,019 average yearly premium.
Company | Average yearly cost |
|---|---|
Tower Hill | $1,189 |
ASI Progressive | $1,952 |
State Farm | $2,227 |
Universal Property | $2,353 |
Citizens | $6,019 |
How to buy homeowners insurance in Florida
With so many insurance companies pulling out of Florida thanks to the severe weather that makes expensive claims difficult to finance, it’s extra important to compare policies from multiple companies to make sure you’re getting the best coverage at the fairest price.
Frequently asked questions
What is the average cost of homeowners insurance in Florida?
The average cost of homeowners insurance in Florida is $220 per month or $2,643 per year.
Why is home insurance in Florida so expensive?
Home insurance is so expensive in Florida because the state is at high risk for severe weather damage due to lightning strikes, hurricanes, tornadoes, wildfires, and more. Since there’s a higher chance of homeowners filing a claim, home insurance companies charge higher rates for this added risk.
How can I lower my homeowners insurance in Florida?
You can lower your homeowners insurance in Florida by taking advantage of discounts offered through your home insurance company. This might mean bundling your home and auto policies together for discounts of up to 30% off your premiums, or adding security systems to get discounts of almost 5%.
Another way to lower your homeowners insurance rates is by opting for a higher deductible. Just keep in mind a higher deductible means you’ll have to pay more money out of pocket when you file a claim before your insurance company kicks in to cover the rest.
Is it mandatory to have homeowners insurance in Florida?
While it’s not legally required to purchase homeowners insurance in Florida, most mortgage lenders require you to purchase home insurance before they’ll extend a home loan to you. This is because they have a financial investment in the property until you pay off your mortgage, so they want to ensure it’s fully protected.
