What Florida Homeowners Insurance Covers—and Misses

A standard Florida HO-3 homeowners insurance policy typically covers four main things: your dwelling, personal property, personal liability, and loss of use if a covered claim makes your home unlivable. But flood and storm surge are always separate, which is especially important for homeowners in Fort Lauderdale, FL and across Broward County.

At Alexander, Greep & Tate Insurance, we believe homeowners insurance should not feel like a surprise test after something goes wrong. Here is a plain-English look at what a typical policy is designed to protect, what it may leave out, and the questions worth asking before hurricane season or a claim.

The Basic Structure of a Florida HO-3 Policy

An HO-3 policy is the most common type of homeowners insurance policy for an owner-occupied single-family home. Think of it as a package with several separate coverage sections. Each section has its own limit, deductible, and rules, so it is important not to assume that “having homeowners insurance” means every type of damage is covered.

Florida’s consumer guidance describes the HO-3 as a special-form policy that generally covers the home for causes of loss that are not specifically excluded, while personal belongings are usually covered for the named causes listed in the policy. ([myfloridacfo.com](https://www.myfloridacfo.com/docs-sf/consumer-services-libraries/consumerservices-documents/understanding-coverage/consumer-guides/english---homeowners-insurance-toolkit.pdf?sfvrsn=1a17d80c_16&utm_source=openai))

1. Dwelling Coverage: The House Itself

Dwelling coverage is the part of your policy that protects the physical structure of your home. That generally includes the roof, walls, attached garage, built-in cabinets, plumbing, electrical systems, and other permanent parts of the house.

If a covered event damages your Fort Lauderdale home—for example, a fire, certain types of wind damage, lightning, or a burst pipe—dwelling coverage is the section that may help pay to repair or rebuild it. The key phrase is covered event. Policies do not cover every source of damage, and the exact language matters.

Your dwelling limit should reflect what it would cost to rebuild the home today, not necessarily what you paid for it or what it would sell for. In Broward County, rebuilding costs can change quickly because of labor demand, material prices, local building requirements, and storm-related demand.

Many policies also include coverage for other structures, such as a detached garage, fence, shed, or pool house. However, that amount is often a percentage of the dwelling limit and may not be enough for every property. Alexander, Greep & Tate Insurance can help review whether those limits match your home.

2. Personal Property: Your Belongings

Personal property coverage helps protect the items inside your home: furniture, clothing, electronics, kitchen items, décor, and similar belongings. It may also apply to belongings temporarily outside the home, depending on the policy.

One important detail: your home may have broad protection for the structure, while your belongings are protected only against specific listed causes of loss. In other words, coverage for the house and coverage for your possessions are not always identical.

Some categories have special limits. Jewelry, watches, firearms, fine art, collectibles, cash, and certain electronics may have lower coverage limits unless you schedule them separately. “Scheduling” simply means listing a valuable item specifically on the policy for more tailored protection.

A quick home inventory can make a major difference after a claim. Photos, videos, receipts, and a simple list of larger purchases can help you remember what you owned when life is already stressful.

3. Personal Liability: Protection When Someone Is Hurt

Personal liability coverage can help if you are legally responsible for someone else’s injury or property damage. For example, it may respond if a guest slips on your walkway, your dog injures someone, or your child accidentally damages a neighbor’s property.

This coverage can also help with legal-defense costs if you are sued over a covered incident. It is not just about accidents inside your home; it is about everyday personal responsibility. Because medical bills and lawsuits can become expensive quickly, many Fort Lauderdale homeowners choose liability limits higher than the policy minimum.

Most homeowners policies also include a smaller amount of medical payments coverage for minor guest injuries, regardless of who was at fault. It is designed for smaller bills, not major liability claims.

4. Loss of Use: Help If You Cannot Live at Home

Loss of use coverage—also called additional living expense coverage—can help with reasonable extra costs if a covered claim makes your home temporarily unlivable. That could include a hotel, short-term rental, additional food costs, laundry, and other necessary expenses while repairs are underway.

For example, if a kitchen fire causes smoke damage throughout your Fort Lauderdale home, this coverage may help you live elsewhere during repairs. It does not apply simply because you choose to leave before a storm or because an uncovered loss makes the home difficult to use.

Hurricane Deductibles Are Usually Percentage-Based

One of the biggest surprises in Florida homeowners insurance is the hurricane deductible. Unlike a standard deductible, which is usually a flat dollar amount such as $1,000 or $2,500, a hurricane deductible is often a percentage of your home’s insured dwelling value.

For many homeowners, that percentage is 2% or 5%. For a home insured for $500,000, a 2% hurricane deductible equals $10,000. A 5% deductible equals $25,000. That is the amount you may need to absorb before the policy begins paying for covered hurricane damage.

Florida insurers must offer certain hurricane deductible options, including $500, 2%, 5%, and 10% of the dwelling limit in many circumstances. The exact options available can depend on the home and insurer, but your policy declarations page should show the actual dollar value of your hurricane deductible. ([flsenate.gov](https://www.flsenate.gov/Laws/statutes/2024/627.701?utm_source=openai))

This is why Alexander, Greep & Tate Insurance encourages Broward County homeowners to review deductible amounts—not just premiums. A lower premium can sometimes come with a deductible that would be difficult to manage after a major storm.

Wind Damage vs. Flood Damage: The Difference Matters

Wind damage and flood damage can happen during the same storm, but they are treated very differently by insurance.

Wind damage generally means damage caused when wind directly harms the home. For example, hurricane-force wind tears shingles from a roof, breaks a window, or creates an opening that allows rain to enter. If wind is included in your policy and the loss is covered, your homeowners policy may respond, subject to the hurricane deductible.

Flood damage generally means water that rises or flows over normally dry land from outside the home. That can include storm surge, overflowing canals, heavy rainfall runoff, or water pushed inland by a hurricane. Standard homeowners insurance does not cover flood damage, and storm surge is considered flood damage. Florida’s consumer guidance clearly states that flood damage is not covered by a homeowners policy. ([myfloridacfo.com](https://myfloridacfo.com/division/consumers/understanding-insurance/homeownersinsuranceoverview?utm_source=openai))

That distinction matters in Fort Lauderdale, FL, where a storm can bring both wind and water. A homeowner could have roof damage from wind and water damage from storm surge in the same event. The roof claim may fall under homeowners insurance, while the surge-related damage requires separate flood insurance.

Common Coverage Gaps Homeowners Often Miss

Some of the most common coverage gaps are not obvious until a claim happens. Flood and storm surge are the biggest examples, but they are not the only ones.

• Water backup: Damage from a backed-up drain or sewer line may require a separate endorsement.
• Roof settlement terms: Some policies may pay differently for roof damage based on age, material, or policy wording.
• Ordinance or law coverage: Rebuilding after a loss may require updates to meet current building codes, which can add substantial cost.
• Valuable items: Jewelry, art, and collectibles may need scheduled coverage.
• Home-based business property: Business equipment and liability may have limited protection under a personal policy.
• Enough living-expense coverage: A lengthy repair after a large claim can make temporary housing more expensive than expected.

Get a Clearer Picture of Your Coverage

The best time to understand your policy is before a storm, leak, fire, or liability claim. Alexander, Greep & Tate Insurance helps homeowners in Fort Lauderdale, FL and throughout Broward County review limits, deductibles, exclusions, wind coverage, and available endorsements in plain language.

Learn more about our Homeowners Insurance options and why separate Flood Insurance is so important for South Florida homeowners. For a personal policy review, call Alexander, Greep & Tate Insurance at (954) 561-9496.