Cost of Home Insurance in SWF (lease, condo, mortgage)

[Twobeach]

Average Cost On a Canal, no Mortgage,,Propertys high up,,Fresh Water Cost of Insurance?

Cost of Insurance of Home, No Mortgage on Saltwater Canal?

Is it more difficult to obtain Insurance if you own your home outwrite?

Thanx folks!

[RMD3819]

Depends on how far from the coast you are.

You may need flood insurance, which is different from homeowners, depending on where you are. I don't think you'll have to get this without a mortgage.

I don't thing it makes a difference in cost if you have a mortgage or not.

[nhkev]

it does not make a difference in the insurance if mortgaged or not. What does make a difference is the year of the home, the size of the home, the quality of the home, for replacement cost.

There are different criteria that the insurance companies just assume, such as wind mitigation and fire zone class. These 2 things alone that can effect your insurance premium. Also when you call an agent tell them you want 3 different quotes from different companies because what a companied rating is, such as A rating B rating will make a big difference.... reason being if there is a big company highly rated they are more likely to pay and pay quickly if there was a hurricane, where "joe's insurance" is likely to go bankrupt and not pay.

Flood insurance is seperate if you are in a flood zone or not I would recommend and it is a fixed cost.

to give you a general idea I have a 1800 sq ft built in 2006 off water I pay $700 annual for homeowners and $300 for flood insurance. Both are based off insurance of $200,000 which is what they estimate replacement cost.

[jvelte]

For comparison purposes, my 1970 1800 sq/ft home on a saltwater canal, 9ft elevation runs around $1,600 for homeowners, plus another $450 or so for flood insurance.

[justNancy]

RE: Insurance for owned or mortgaged home.
There's a difference between property insurance & mortgage insurance. The latter is to protect the loan and it's for the lender, not the homeowner. Most lenders require it if your downpayment is less than 20%. There's an insurance product called "mortgage protection" which is entirely different from both property insurance and mortgage insurance and is basically the same as life insurance for homeowners with a few add-ons, but usually more expensive than term life. It's offered to homeowners who have recently financed or refinanced a home. Just a marketing tool for life insurance companies.

As nhkev wrote, to determine the cost would require more information. Each home is evaluated by its age, size & condition and other factors like wind mitigation. The company also looks at claims in the area and history of the home.

In June there was a big controversy in FL regarding state regulations. The bill didn't pass, but some companies were trying to establish their own criteria/rates for determining the cost of property insurance. One company, State Farm, fought to deregulate FL homeowner insurance so it could raise the average annual premium by about 45 to 50%.

Just like an automobile, whether or not you own the home isn't really a factor when applying for property insurance. I mean, if you lease a car, you might be required to carry the maximum coverage, but why wouldn't you do it anyway? Same with a home. You want to have the best replacement coverage in case of a disaster like a fire, hurricane or flood.

I am posting this link since it's a Florida State site, not advertising. It helps you to compare insurance rates. Click on one of the choices and then your county and a list of companies that sell property insurance in your area will pop up.

[URL="http://www.shopandcomparerates.com/"]Compare Homeowner's Insurance Rates[/URL]

[BakinMama]

Originally Posted by nhkev

it does not make a difference in the insurance if mortgaged or not. What does make a difference is the year of the home, the size of the home, the quality of the home, for replacement cost.

There are different criteria that the insurance companies just assume, such as wind mitigation and fire zone class. These 2 things alone that can effect your insurance premium. Also when you call an agent tell them you want 3 different quotes from different companies because what a companied rating is, such as A rating B rating will make a big difference.... reason being if there is a big company highly rated they are more likely to pay and pay quickly if there was a hurricane, where "joe's insurance" is likely to go bankrupt and not pay.

Flood insurance is seperate if you are in a flood zone or not I would recommend and it is a fixed cost.

to give you a general idea I have a 1800 sq ft built in 2006 off water I pay $700 annual for homeowners and $300 for flood insurance. Both are based off insurance of $200,000 which is what they estimate replacement cost.

Our payment is similar. Our home was built in 2006, is 2070 sq. ft and is off water. We pay around $1,000 for homeowners and flood with insurance of $250K. We also use an A-rated company.

[kroeran]

a few insurance facts that I gathered along the way...

If you plan on renting out your home for short periods, few companies will provide insurance for this. We use Cypress which includes this coverage.

For snowbirds and second homer condo owners, I believe insurance will require you to have a houseminder to visit the house regularly when unoccupied, however, I believe that this is not a requirement if it is a gated condo.