Florida Homeowners Insurance Policy Information
Whether you own a house, condominium or townhouse, for most people their home is their most important
investment. Agrillo Insurance offers Florida homeowners insurance policies that have flexibility to meet your
individual needs and above all, provide you with the security that comes only from the knowledge that your
home is safe.
Insurance for your home is one of the most popular and important forms of personal insurance and the
typical Florida Homeowners Insurance policy has two main sections:
Section I - insurance coverage for your property
Section II - personal liability coverage (to cover you in case of lawsuits arising from things that happen on
Homeowners insurance is often required by lenders to obtain a mortgage and nearly everyone, whether you
own or lease property, should have the protection of homeowners insurance.
Click on the link below to fill out a secure quote request form for a Florida Homeowners Insurance policy
that will provide excellent insurance coverage at an affordable cost. Or you can speak with our
Florida Homeowners Insurance agent specialist at 772-287-1560 to discuss the insurance features.
Replacement Cost or Actual Cash Value Option
in Florida Homeowners Insurance Policy
Covered losses under a Florida homeowners insurance policy can be paid on either a replacement cost
basis or on an actual cash value basis. When "actual cash value" is used, the policy owner is entitled to
the depreciated value of the damaged property. Therefore, the older the item is, the less
money you may receive for it. If you choose the "replacement cost" coverage, the Florida homeowners
insurance policy will reinburse the amount it costs to replace the property with something of a similar type
and quality at current prices.
What is my home worth? Market value versus reconstruction costs
Many homeowners equate the "worth" of a home to its market value, especially if the home was a recent
purchase. While market value is a valid calculation of a home's worth for buying and selling, it has little to
do with the cost of rebuilding. The estimate you are providing is the amount to reconstruct the home at
Florida Homeowners Insurance Policy FAQ
Coinsurance Penalty in Florida Homeowners Insurance Policy
If your policy limit is less than 80% of the replacement cost of your home, you will face a
"coinsurance penalty," which means you'll have out-of-pocket expenses to cover costs
beyond the policy deductible you chose. For example purposes we will assume your
home's estimated replacement value (RCV) is $100,000. The co-insurance clause
requires you carry at least $80,000 (80% of your RCV). If you chose to purchase only a
$40,000 Florida Homeowners Insurance policy you would be underinsured by half.
Therefore, in the example the insurance company would pay one-half of a loss less the
policy deductible, so if you suffered a $10,000 covered loss to your house, condominium
or townhouse and had a $500 deductible, your policy would only pay $4,500.
Florida Homeowners Insurance Policy FAQ
Personal Liability in a Florida Homeowners Insurance Policy
Personal liability in a Florida homeowners insurance policy is also an important part
of having security from accidents that may occur on your property. We suggest you
choose coverage limits that are not less than those on other liability insurance you
own, such as car insurance.
Click on the link below to fill out a secure quote request form for a Florida
Homeowners Insurance policy that will provide excellent insurance coverage at an
affordable cost. Or you can speak with our Florida Homeowners Insurance agent
specialist at 772-287-1560 to discuss the insurance features.
**The information, pictures, and other content in this website about particular insurance services
is only provided for informational purposes. Any decisions regarding your insurance needs
should be discussed with a licensed insurance agent.
Replacement Cost or Actual Cash Value
Florida Homeowners Insurance Policy FAQ
All Risks or Named Perils in Florida Homeowners Insurance Policy
An "All Risks" policy provides the broadest Florida homeowners insurance protection because
it will cover losses that are due to any peril except those specifically excluded in the policy. A
"Named Perils" policy covers losses that are due to only those perils listed in the standard
Florida Homeowners Insurance policy and typically include fire, hail, windstorm, and other
All Risks or Named Perils
Florida Homeowners Insurance Policy FAQ
Florida Homeowners Insurance Policy FAQ
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Why is reconstruction cost more expensive than new construction?
Rebuilding a home includes many factors and expenses not considered in new
It costs more for a contractor to build one home at a time because materials are not
purchased in bulk. A single household item that matches the one that's been
destroyed will nearly always cost more than if it had been part of a larger purchase.
Top-down versus bottom-up:
Repair work for a partially destroyed home is done from the top of the home down.
This is more time consuming and labor-intensive.
Demolition and debris removal:
This step is necessary before reconstruction can begin and adds to the total cost.
When a builder constructs many homes at once, they can efficiently schedule labor
for carpenters, plumbers, electricians and other workers. For a single rebuild, labor
is not as efficient and contributes to higher costs.
Worksite access is easier for brand new construction. For reconstruction,
obstacles such as neighboring homes, trees, lawns, fences and other landscaping
prevent easy site access. This makes it difficult to transport materials and can drive
up labor costs.
Changes to building codes may require costly updating, even for undamaged parts
of a home. This could include updating wiring or other utilities and is costly,
especially for older homes.
After a natural disaster, the costs of building materials and labor rise because of
increased demand. Over the past 20 years, there has been a significant increase
in the frequency and severity of weather events, resulting in a high number of
losses that require repairs.
Home Replacement Cost Estimate Explained
Proper insurance to value is one of the most important considerations in insuring
property. In an effort to assure your home is insured properly we review the
estimated replacement cost of your home on an annual basis.
The program calculates the minimum estimated replacement cost based on:
* Local Labor* Local Material Costs
* Square Footage of Dwelling* Construction Type
* Heating & AC Systems* Additional Features/Enhancements
* Potential Debris Removal* Foundation Excavation & Replacement
* Architect Fees* Structural Engineering Fees
To rebuild a substantially damaged home is much more expensive than to build
new because debris must be removed before repairs can be made. Where as
in new construction there is no debris removal to consider. The cost to remove
debris is considered in the estimated replacement cost estimate because it is
covered under the dwelling limit on your Florida homeowner's insurance policy.
Comparing estimated replacement cost to current local new construction costs
is not a good comparison either because new homebuilders typically are building
many homes at once, which allow economies of scale. They purchase large
quantities of materials giving them discounts and share labor on several homes,
which allow for lower labor costs per home.
Protecting undamaged parts of the home and contents:
Keeping a partially destroyed home from further damage until permanent repairs
can be made adds to the overall cost. This could involve covering a damaged roof
or holes in walls.
Specialized labor is more costly:
Reconstruction is often completed by contractors who specialize in rebuilding as
opposed to new construction contractors. Their specialized labor tends to be more
Replicating old construction methods and materials:
A standard homeowners policy provides for replacement with like kind and quality,
which means replicating a home as it stands today. In older homes, interior walls
are often made of plaster instead of drywall and exterior brick walls are made of
solid brick instead of modern brick veneer. Homes constructed prior to 1940 were
built with full dimensional lumber, which is larger and more costly than typical
modern lumber. Because of features and materials such as these, older homes,
especially those built prior to 1940, cost more to replace. In addition, the rising cost
of commodities contributes to higher reconstruction costs. For example, petroleum
based materials such as shingles have increased in cost dramatically.
Many compare the value of their home to the current market value, or what you
could sell your home for in the current real estate market. This is not an
accurate comparison because if your home is substantially damaged the
repairs will be made at current labor rates and materials costs including debris
removal. Market value is what you can purchase a used home at in the current
real estate market, which is not an indicator of cost of neither new construction
The program does not consider the value of your land. It is considering your
dwelling only. Our agency utilizes data on your home, which we retrieve from the
county's tax appraisal database. This information provides us with your homes
square footage, type and materials of construction and features. If there are
errors in this information we will be happy to make adjustments where
necessary. If your home is new we will acquire this specific data from your or
We advise you to insure to at least the minimum estimated replacement cost.
You should even consider insuring above the minimum. If your home were
substantially damaged wouldn't you like to rebuild it back to the size and quality
it was? After all your home is probably the largest investment you will make.
Over the years we have had a few clients suffer major losses whereby their
home and contents were substantially destroyed. They were happy we had
advised then through the years about insuring to proper values and were able to
recover from their losses without financial hardship.
If choices are available, a home buyer should consider each houses insurance
costs before making that final house buying decision. Factors for determining
your Florida homeowners insurance premium include the following.
1.Condition and age of the house
2.Size of the house
3.Building construction type (brick, frame, EIFS, etc.)
4.Information on any renovations done to the original construction
5.House location and distance to closest fire station
6.Safety devices in the house (alarm systems, smoke detectors, sprinklers, etc.)
7.Whether house used full-time or part-time, such as a vacation home or
seasonally rented to others
8.Flood and other natural disaster risks for house and area (flood, hurricane,
9.Amounts of deductible and coverage limits and benefits chosen
10.Personal credit history of the homeowner(s)
* Condition and age of the building *
Not surprisingly, older homes cost more to insure. They tend to cost more to
repair and more prone to damages. A new home will have new heating and
cooling systems, and newer electrical wiring. Keeping your older home well
maintained will save you money in insuring it.
* House Size *
Insurance companies may charge more based on a homes square footage.
Also not surprisingly, the larger the house, typically the cost to insure it
increases. More risk to the insurance company must be passed on to you.
* Building construction type *
The more fire resistant materials your home is built with the better for receiving
lower homeowners insurance premium costs. Concrete, stone, and brick are
safest, while frame houses built from wood are more prone to larger fire
damage. Some less expensive exterior insulation finishing systems (EIFS) can
be lacking in fire resistance to the point that insurance could be denied. Know
the possible consequences of what you are buying.
* Information on any renovations done to the original construction *
Renovations usually increase your homes value and cost to insure. All
renovations need to be shared with the insurance agent for determining your
homeowners insurance premium.
* House location and distance to closest fire station *
Theft and other crime rate statistics for your area will be weighed in determining
homeowners insurance policy premium. The farther your house is located from
a fire station or police station, the higher your homeowners insurance premium.
Both important things to consider if you have home buying options.
* Safety devices in the house (alarm systems, smoke detectors, sprinklers,
House alarm systems, smoke detectors, carbon monoxide detectors, and
sprinklers will reduce the cost to insure it. Better safety is good for you, your
family, and ultimately your wallet.
Determining Florida Homeowners Insurance Premium
* Whether house used full-time or part-time, such as a vacation home or
seasonally rented *
An often empty house, such as a vacation home or one rented seasonally to
others, is more prone to burglary and therefore costs more to insure than a
* Flood and other natural disaster risks for house and area *
If your area is more likely to experience tropical storms and hurricanes, your
homeowners insurance costs will be higher. High damage possibility from such
weather, as well as a house in a flood prone area, will always increase an
insurance company's risks and they must pass on the cost to the home owner.
* Amounts of deductible and coverage limits and benefits chosen *
You know the drill: accept a higher deductible and reduce your premium.
Always be sufficiently insured though to cover the cost to rebuild.
Reduce Problems Encountered Insuring Your Home
Removing some easy insurance risks will make your home more readily
insurable and could also reduce your premium. Take a step back and study
your homes exterior for cracks in the sidewalks or driveway, loose porch or
patio railings, and any heavy looking tree limbs hanging over your roof. Simple
and inexpensive safety precautions such as these should be a first thought for
Other Exterior Home Improvements Include:
•Fix other small problems such as sagging window screens, uneven closing
doors, and rotting boards
•Have a clean looking property void of objects that could cause an accident
•Replace a damaged or badly worn roof. Water stains on a ceiling tell an agent
inspecting the inside of your home that you might have a future significant claim
•A well kept yard shows care for your property to an insurance company
•Peeling or faded paint should be repainted
Theft Precautions To Help Insure Your Home
A vulnerable home might be an insurable one. Theft is a common insurance
claim and some steps you take can reduce your risk of being insured to the
•Eliminate or at least reduce places around the exterior of your home where
thieves can hide without being seen, such as by keeping bushes trimmed
near windows and doors
•Install dead bolts or other security devices on doors and windows
•Install a burglar alarm that alerts the police or a security company
•Your local police department have crime prevention officers that can review
your home and make security suggestions. Local police also have
information about starting a neighborhood watch program
•Don't park your cars on the street. They are the most tempting target for
thieves and the easiest to break into
•Have some outside flood lights that automatically turn on and off based on
the amount of light outside
Home Fire Prevention - Safety Tips
Some far too common causes of fires include inadequately discarded
cigarettes and cigars, space heaters placed too close to furniture, fireplace
sparks not sufficently blocked from exiting the fireplace area by doors or
screens. Fires of these types are more dangerous because they can
smolder for extended periods of time before being noticed by a sleeping
Some safety steps to prevent a fire in your home.
Make certain cigarette's, cigars, and their ashes are completely out. Don't
put still hot butts or ashes into a trash can. Soak butts and ashes in water
before throwing them away.
Put your cigareet or cigar out first before going to bed and don't smoke in
bed. Also, don't smoke if you've been drinking, overly sleepy, or drowsy
A home where a resident needs oxygen for medical reasons should not
include a smoker. Oxygen can be explosive and makes fire burn hotter and
Avoid placing an ashtray on a sofa or chair. Furniture can catch on fire
easily and burns fast.
The leading cause of injury from fire occur from cooking in the kitchen.
Some cooking safety steps to prevent a fire in your home include the
Position barbecue grills at least 10 feet away from siding and deck railings,
and out from under eaves and overhanging branches. Also, if it's raining,
no matter how tempted, don't grill under a covered patio area.
Stay in the kitchen when you are frying, grilling, or broiling food. If you leave
the kitchen for even a short period of time, turn off the stove.
Create and enforce a safe "kid-free zone" of 3 feet around the stove to best
protect your children.
Wear short, close-fitting or tightly rolled sleeves when cooking.
Do not cook if have been or currently are drinking alcohol, feel overly
sleepy, or have taken medicine that can make you drowsy.
Common Sense Florida Homeowner Flood Preparedness
In addition to having the correct amount of flood insurance to protect your
property and home, there are some common sense building and planning
steps that could save you money.
If building in a floodplain always elevate and reinforce your home. Consult
your areas flood maps and local authorities for suggestions for how high to
High flood risk homes should have electrical panels, water heaters, and
furnaces elevated for maximum protection. You don't want to be without
these crucial comfort features after a flood or rising waters strike your home.
If you have floor drains in your home, check valves should be installed to
prevent rising water from entering them.
Even though flood insurance is relatively inexpensive, most Florida
homeowners do not choose to purchase the insurance protection available.
According to the Federal Insurance Administration, less than 25% of the
homes in areas most vulnerable are insured against flood loss. In those
areas, flooding is 24 times more likely to occur than a fire during the course
of a 30-year mortgage.
Safety Tips for Home Fire Prevention
Many of us utilize portable heaters for the coldest nights and days of winters,
even in Florida. You can make your home safer by following these safety tips
for all electrical products, appliances, and portable space heaters.
Purchase portable space heaters and other electrical products evaluated by
a nationally recognized laboratory, such as Underwriters Laboratories (UL).
Only purchase a portable space heater with a thermostat control
mechanism that turns off automatically if the heater falls over.
Maintain a minimum 3 foot distance between combustible objects and
portable space heaters.
Check with your local fire department on the legality of kerosene heater use
in your community.
Only use crystal clear K-1 kerosene in kerosene heaters and only Use the
heater in a well-ventilated room.
Appliance & Electrical Safety
Light switches that are hot to the touch and lights that flicker should be
turned off and evaluated by a professional electrician as soon as possible.
Three into three. If an appliance has a 3-prong plug, use it only in a 3-slot
outlet. Never force a 3-prong plug into a 2-slot outlet or extension cord.
Use electrical extension cords wisely. Don't overload extension cords or wall
sockets. There are far too many fires in the month of December every year
because of improper extension cord use for Christmas tree lights.
Frayed wires can cause fires. Replace all worn, old or damaged appliance
cords and don't run cords under rugs or furniture.
Insurance Claim Suggestions
After your home is damaged don't make any permanent repairs until your
insurance company has inspected the damage. You can make temporary
repairs to protect the home and property inside of it, but ask your insurance
agent to be certain what is considered temporary and what is considered
permanent. Your homeowners insurance policy should cover necessary
temporary repairs and any storage costs incurred if you must rent storage space
to protect belongings.
Make a list of your damages and photograph or videotape the damage before
making any temporary repairs to your home.
Keep all receipts from purchases needed for temporary repairs.
If you have to move because of a larger disaster, make sure your home address
is easily visible, and leave a note at your home with your name, cellphone
number, and insurance company name.
Make every attempt to be at your home when the insurance company's adjuster
inspects it. Also, if possible, if you've made plans already, have your contractor
with you so estimates or technical specifications can be discussed with the
adjuster of your insurance company.
Proudly Serving South Florida Since 1992
Agrillo Insurance Agency
49 SW Monterey Road
Stuart, Florida 34994
Martin County, FL
Fax: (772) 287-1950
Florida Homeowners Insurance Solutions!
We are a Martin County, FL insurance agency, offering affordable Florida homeowners
insurance in the following south Florida cities and counties: Stuart, Port St. Lucie,
Golden Gate, Coral Gardens, River Park, Sewall's Point, Indian River Estates, White
City, Palm City, North River Shores, Port Salerno, Jensen Beach, Hobe Sound, Jupiter,
Limestone Creek, Jupiter Farms, Port Sewall, Walton, Fort Pierce South, Ankona,
Arundel, Fort Pierce, Juno Beach, West St. Lucie, Fort Pierce North, Cabana Colony,
St. Lucie Village, Juno Ridge, Palm Beach Gardens, St. Lucie, Vero Beach, Gifford,
Indian River Shores, Indrion, Oslo, Eldred, White City, Lakewood Park, Riomar,
Wabasso, Sebastian, Indiantown, Tequesta, North Palm Beach, Riviera Beach,
Haverhill, West Palm Beach, Boynton Beach, Lantana, Hypoluxo, Palm Beach, Lake
Worth, South Palm Beach, Loxahatchee, Greenacres, Jupiter Island, Boca Raton,
Palm Beach Shores, Lake Park, St. Lucie County, Indian River County, and Palm
Beach County, FL. We also offer Florida homeowners insurance services throughout
the state of Florida, including in the greater Fort Lauderdale, Miami, FL area.