All Forum Posts by: Jared Townsend

I write 1-12 month policies for vacant renovations (flips) through Lloyds of London. The policy usually works out to be around $1,000/6 months so its not cheap but it is the right coverage.

Feel free to check out my latest blog post on this subject as well.

How I Measure the Risk of Self Insuring a House

Every property is going to be different. If insurance was $500/year I would take it but not if it were $5000/year. You have to look at the break even of a complete loss. $500/year would take 60 years of no claims to equal $30k so I'm willing to bet I'll have a claim before 60 years. $5000/year is only 6 years to break even so I'm personally willing to risk that.

Either way you should have liability coverage in place. It costs at most $450/year and much less if you are bundling multiple properties.

Only if it is a tile roof. Shingle roofs they will allow up to 15 years. Carriers that allow up to 20 years include St Johns, Federated National and GeoVera. GeoVera also does not require a four point inspection but they tend to have higher deductibles and is an excess lines (looser regulation) product.

Security First does not require a Four Point but they will request verbal confirmation that the home is in good shape. You can get a 1-12 month vacant renovation policy. A true builder's risk requires that the renovations cost more than 25% of the value of the home.

It really depends on a number of variables including age of the home, location, prior claims history, etc. You should get with an independent agent that can shop the markets here and help guide you to the right policy.

Hi Kathleen,

If you are looking for standard carriers the only one I know of is Heritage. They require a plumber to inspect the pipes for damage then limit the water coverage to $10k.

You can also get an Excess&Surplus (E&S) policy that is generally more expensive but more flexible in their underwriting.

- Jared

Hi Jasmine,

Kirk is absolutely right. Even Orlando is only 40 miles from either coast and can be severely damaged in a storm. You will find homes built 2002 and newer to be less expensive for insurance. If you get an older home make sure the roof is less than 20 years old then get a wind mitigation report for good discounts. 

Let me know if you have any other questions, I'd love to help!

Jared

Flood insurance options are limited due to most policies being written through the National Flood Insurance Program. A select few carriers are beginning to write private flood policies so you can ask your agent if there are any private options.

Hazard insurance in North and Central Florida are closer to the $800-1200 range compared to Panhandle, South and Tampa areas can easily push $2000-3000.

Generally independent agents will be your best bet because they can shop 20+ markets compared to captive agencies only providing one quote.

Hi Jason,

In many parts of the country CBIZ is the main player. Due to Florida's booming vacation rental business (Disney anyone?) we have several others that provide more comprehensive coverage catered to vacation rental properties. Progressive's home owner's partner (American Strategic Insurance) is one of the industry leaders in this area.