Every homeowners insurance policy comes with a deductible—the amount you pay out-of-pocket before your coverage kicks in. Deductibles help discourage small claims, encourage proper home maintenance, and keep insurance premiums manageable.
But in Florida, understanding your deductible can get a bit more complicated. Because of the state’s high hurricane risk, Florida homeowners policies often include multiple deductibles, each applying in different scenarios. Knowing which deductible applies when can help you make smart decisions about filing claims and preparing for emergencies.
Why Florida Homeowners Insurance is Unique
Homeowners insurance rules vary by state. Florida is unique because of hurricane and windstorm risks, which influence policy structure. Most Florida policies include at least two separate deductibles, and some policies have as many as six! Let’s break them down.
Types of Deductibles on Florida Homeowners Policies
- Calendar Year Hurricane Deductible: If your policy covers wind, hurricanes, and hail, it will likely include a Hurricane Deductible, usually expressed as a percentage of your Coverage A (Dwelling) limit.
- Example: Coverage A = $500,000, Hurricane Deductible = 2% → $10,000 out-of-pocket.
- A “hurricane occurrence” generally begins when NOAA issues a Tropical Storm or Hurricane Watch/Warning in any part of Florida and lasts until 72 hours after all warnings expire. Multiple hurricanes in a calendar year may trigger additional claims, but this deductible often applies once per year. Subsequent claims may fall under the Other Wind or Hail Deductible or All Other Peril Deductible.
- Other Wind or Hail Deductible: Some insurers include a separate deductible for wind damage that does not qualify as a hurricane occurrence, or for hurricanes after the primary hurricane deductible is exhausted.
- Usually slightly lower than the hurricane deductible but higher than the All Other Peril Deductible.
- Somewhat uncommon and rare, so if your policy has it, check with your agent about options to reduce or remove it.
- Roof Deductible: Certain insurers have a separate deductible for roof repairs or replacement.
- Ensures the deductible is higher than the All Other Peril Deductible for roof claims that aren’t hurricane-related.
- Also somewhat uncommon and rare—contact your agent to see if you can adjust it.
- Water Damage Deductible: Covers interior water damage from plumbing leaks, appliance failures, or other non-flood sources.
- Typically higher than the All Other Peril Deductible.
- Helps manage frequent small water claims.
- Sinkhole Deductible: Sinkhole coverage is not standard in Florida homeowners policies, but if included:
- The deductible is usually 10% of Coverage A.
- Example: Coverage A = $500,000 → Sinkhole Deductible = $50,000.
- Water Back-Up & Sump Overflow Deductible: Water Back Up Coverage is available as an endorsement, covering water back-up from drains or sump pump failure and when included, is subject to it's own deductible.
- Coverage is usually limited to $5,000 per claim, with a $250 deductible.
- All Other Peril Deductible: Covers any other insured losses not subject to the higher, specialized deductibles above.
- This deductible is typically offered as a flat amount, but in some rare cases can be offered as a percentage of Coverage A. Common flat All Other Deductible amounts are $500, $1,000, or $2,500. If you have a "percentage of Coverage A" based All Other Peril Deductible, we recommend you contact your agent to see if you can adjust it.
- Applies to claims like theft, fire, or liability-related Loss Assessments.
- Essentially, this is the default deductible on your policy.
Why Understanding Your Deductibles Matters
Homeowners insurance can be complex, especially in Florida. Knowing your deductibles helps you:
- Decide whether filing a claim is worth it.
- Set aside the right emergency funds.
- Avoid surprises during stressful situations.
Having a knowledgeable insurance agent by your side makes a big difference. At Evolve Insurance Agency, we review every policy and explain your deductibles, so you never face unexpected costs.
Tip: Review your policy annually to ensure your deductibles match your financial comfort and risk tolerance.
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Friendly Reminder from Evolve Insurance Agency:
Every homeowners policy is a little different, and deductibles can vary between insurance companies. The information here is meant to help you understand the basics, but it may not reflect your specific coverage. Take a few minutes to review your own policy and reach out to your Evolve Insurance agent—we’re always happy to walk you through your deductibles and make sure you know exactly what to expect.
-David Kronk Jr
Owner, Evolve Insurance Agency