Calculation table
| Coverage A | 2% | 3% | 5% | 10% |
|---|---|---|---|---|
| $300,000 | $6,000 | $9,000 | $15,000 | $30,000 |
| $500,000 | $10,000 | $15,000 | $25,000 | $50,000 |
| $700,000 | $14,000 | $21,000 | $35,000 | $70,000 |
| $1,000,000 | $20,000 | $30,000 | $50,000 | $100,000 |
| $1,500,000 | $30,000 | $45,000 | $75,000 | $150,000 |
How to choose
- 2%: max premium, min exposure. Recommended if low liquidity or advanced age.
- 3%: classic compromise. Most policies default to 3%.
- 5%: moderate premium savings (~15-20%), mid-range exposure. For owners with solid savings.
- 10%: large savings (~25-30%), maximum exposure. Only if you have $100K+ liquid in USD.
- Also consider: building value (Coverage A), annual rate (more cyclones = better lower deductible), distance to coast.
Hurricane vs AOP deductible
- Hurricane deductible: only damage from a declared hurricane (watch/warning + 72 hrs after).
- All Other Perils (AOP) deductible: fire, theft, plumbing leak, etc. Typically $1,000–$2,500.
- For tornado outside the hurricane window: AOP applies (usually lower).
- If unclear which deductible applies, insurer decides based on documented cause.
Payment and liquidity
- The deductible is never paid to the insurer. The insurer simply deducts it from any settlement.
- The insured pays the first repair invoices up to the deductible, then the insurer takes over.
- Major hurricane (total loss): $600,000 settlement minus $30,000 deductible = $570,000 paid to insured.
- The insured therefore needs $30,000 USD quickly accessible to pay contractors before the final settlement arrives (60-180 days).
- For Canadians: do not rely solely on a Canadian line of credit (conversion fees, delay). Keep a US account with sufficient liquidity.
Total loss and coverage limit
- If the home is 100% destroyed, max settlement = Coverage A − deductible.
- Coverage A must be updated annually to actual replacement cost (with construction inflation). Otherwise, underinsurance = reduced settlement (coinsurance clause, F.S. §627.701).
- If Coverage A < 80% of replacement cost, the insurer can proportionally reduce the settlement.
- Ask your broker yearly to review Coverage A. FL construction: typical +5-8%/yr inflation 2022-2025.
Formulaires officiels et pages de référence
Responsabilité du lecteur
Toujours utiliser la dernière version disponible sur le site officiel cité ci-dessous. Les seuils, taux et délais évoluent. CanadaFlorida ne se substitue pas à un professionnel licencié.
Every figure, rate, threshold, and deadline in this guide is drawn from a verifiable primary source listed at the bottom of the page. The article is updated whenever the underlying rules change, with a fresh review date stamped at the top.
Sources and references
Public sources verified as of the last review date (Florida Statutes, Florida Department of Revenue, Citizens, FEMA, DBPR).
- F.S. §627.701 — Hurricane deductible and coinsurance. leg.state.fl.us/§627.701
- F.S. §627.4025 — Hurricane definition. §627.4025
- Florida OIR — Consumer Resources. floir.com