HKMB HUB International works with many clients who have property in Florida. Some of the risk and insurance issues we advise them to watch for include:
- Insurance availability and cost are very different in Florida than they are here in Ontario. There are very few companies that will insure homes valued over $500,000, and even fewer that will include Wind/Hurricane coverage in their policy.
- Generally, Wind/Hurricane coverage is purchased through Citizens Property Insurance, a State of Florida operated plan. It covers Wind only and premiums and deductibles are extremely high.
- Flood coverage in Florida is very limited. The maximum available is $250,000 on buildings and $100,000 on contents. Above that, it is necessary to purchase an Excess Flood policy. A Flood Elevation Certificate should be obtained at closing.
- Liability coverage, when available at all, comes only with very low limits. Generally, we advise extending coverage for a Florida property from Canada. This delicate combination of risk makes it imperative to choose an insurer in Canada that is prepared to encompass Florida risks.
- Clients who take their Ontario registered vehicles to Florida each year are advised to let us know. Generally, Ontario vehicle insurers will apply a surcharge for the increased exposure related to relocating the vehicle to Florida. However, depending on certain variables, some companies will not charge a premium.
- Of course, some clients purchase vehicles in Florida which remain there all year. Coverage for these vehicles is easily arranged from Canada.
- Consumers in Florida are somewhat less protected than in Ontario when it comes to the required notification of policy renewal. In Florida, if payment is not received by the insurer in time, the policy could be irrevocably cancelled.
Because of the many differences between Ontario and Florida as regards
insurance, HKMB HUB partners with a local insurance broker who keeps us
up to date on changes in the marketplace, as well as on client renewals
and payments. Our Florida partner’s expertise has proven invaluable
in the placing hard to obtain coverage and, between us, we ensure that
our clients do not have any lapses in coverage. HKMB HUB remains the point
of contact for our clients. We manage all the communication with our
Florida partner.
We invite you to contact us to discuss your Florida insurance requirements
as well as any other U.S. exposures with which we might be of assistance.
