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An insurance form specifies the perils
for your home and belongings that your policy covers. The
following overview explains the basic insurance packages
available to Florida homeowners, condominium-unit owners,
mobile home owners and renters. The basic homeowners policy
is a package policy that may be modified. But dwellings,
adjacent structures, contents, liability and medical
payments usually cannot be eliminated from the basic
package.
Homeowners Insurance
The three packages offered most
frequently to owners of single-unit homes include Broad Form
HO-2, Special Form HO-3 and Modified Coverage Form HO-8.
These policies insure your home and belongings against a
number of perils.
The perils include:
1. fire or lightning
2. windstorm or hail
3. explosion
4. riot or civil commotion
5. aircraft
6. vehicles
7. smoke
8. vandalism or malicious mischief
9. theft
10. falling objects
11. weight of ice, snow or sleet
12. accidental discharge or overflow of water or steam
13. sudden and accidental tearing apart, cracking, burning
or bulging
14. freezing
15. sudden and accidental damage from artificially generated
electrical current
16. volcanic eruption
The more perils your policy covers, the
more you will pay for it. Homeowners policies vary in their
broad coverage; they may also differ in price and customer
service between companies. It is important to review your
insurance needs and compare them to the coverage offered
before making a decision.
Broad Form (HO-2) covers
all 16 perils.
Special Form (HO-3), the
most popular homeowners form, covers the home for everything
not specifically excluded. It also covers personal property
for all 18 perils listed.
Modified Coverage Form (HO-8)
insures your property against the first nine perils listed
previously, and volcanic eruption.
Florida law
also mandates coverage for sinkhole damage.
All homeowners policies provide liability
coverage.
Click here
for a complete chart of the types of insurance forms and the
perils covered.
Renters or Tenants Insurance (HO-4)
insures your household contents against the perils included
in the Broad Form (HO-2). It also includes personal
liability coverage.
Condominium Insurance
The Florida Legislature passed a law in
2003 affecting condo association and unit owners' policies
issued or renewed after Jan. 1, 2004. The changes apply to
every condominium policy regardless of declaration date. The
association may choose to cover some items in its policy, so
make sure you are thoroughly familiar with its bylaws and
policy to know what the association is responsible for.
If you have difficulty obtaining copies
of these documents, call the Florida Department of Business
and Professional Regulation, Division of Land Sales,
Condominiums and Mobile Homes, at 1-800-226-9101.
Under the new law, the condo
association policy no longer covers:
 Floor,
wall and ceiling coverings
Electrical
fixtures
Appliances
Air
conditioning and heating equipment
Water
heaters
Water
filters
Built-in
cabinets and countertops
Window
treatments, including drapes, blinds and hardware replacement
Air
conditioning compressors
that serve only one unit, no matter where they are located
Condo
associations can also require unit owners to insure items such
as front doors and screened porches. In addition, unit owners
should continue to insure interior additions or upgrades which
are not the same kind or quality as the original building item.
Condo unit owner policies issued after
Jan. 1, 2004 shall provide coverage that is more than any
other policy covering the same property. This means that if
an item is covered under an association's policy, that
policy pays first, followed by the unit owner's policy.
This change also affects the amount of
coverage needed for the building under the unit owner's
policy, so it is important to review your existing policy
with your agent to make sure you are adequately covered.
Condominium-Unit Owners Form (HO-6)
covers property or certain items not insured by the
association's policy against the perils included in Broad
Form (HO-2). It also includes personal liability coverage.
Mobile Home Insurance
Typical mobile home policies provide
basically the same coverage as Broad Form (HO-2) or Special
Form (HO-3) policies. Check your individual policy for any
exclusions. If you own a mobile home, you can select from
three coverage forms (which are still subject to the limits
of your policy) to insure your dwelling:
A
stated amount policy specifies that you will recover the
policy's face amount in the event of a total loss, based
upon the agreement made in your application. Insurance
companies usually offer this type of policy for newer-model
homes.
An
actual cash value policy will pay the amount needed to
repair or replace a home after depreciation. These policies
usually feature lower premiums.
A
replacement cost policy will pay for the replacement of a
damaged or destroyed home without deducting for
depreciation.
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