Florida Hurricane Deductibles: The Cost NJ Movers Miss

Quick Answer: A Florida hurricane deductible is usually a percentage of your dwelling coverage, not a flat dollar amount. Florida's Department of Financial Services says insurers must offer hurricane deductible options of $500, 2 percent, 5 percent or 10 percent, and on homes insured for $250,000 or more the choices are 2, 5 or 10 percent. As simple arithmetic, on $400,000 of dwelling coverage that is $8,000, $20,000 or $40,000 out of your pocket before the policy pays a hurricane claim. Run that number for the exact address before you sign a contract, not after.

By Scott Selleck, KW City Views Realty | November 10, 2026

Many New Jersey policies use a flat dollar deductible. A Florida hurricane deductible works differently. That difference is one of the costliest surprises I see when Bergen County clients move south, and it is the second of the five costs I cover in this video.

How does a Florida hurricane deductible work?

It is a separate deductible that applies only to hurricane losses, and it is set as a percentage of your dwelling limit.

Florida's Department of Financial Services lays out the rules. Insurers must offer $500, 2 percent, 5 percent or 10 percent. Once a home is insured for $250,000 or more, the $500 option drops away and you choose among 2, 5 and 10 percent. From $1 million to under $3 million, insurers may offer 3 percent in place of 2 percent, and at $3 million or more they need only offer 5 and 10 percent (Fla. Stat. 627.701).

The percentage applies to the dwelling limit on your policy, not to what you paid for the house. Ask your carrier or a licensed Florida insurance agent how the dwelling limit on a specific policy is set.

Watch me explain the hurricane deductible at 1:23

What does that look like in real dollars?

The figures below are arithmetic only, not a quote. Your carrier sets the real number.

$400,000 dwelling limit at 2 percent: $8,000 out of pocket per calendar year before the policy pays.
Same home at 5 percent: $20,000.
Same home at 10 percent: $40,000.

Treat the deductible as part of your moving budget, the same way you would treat closing costs.

Does the deductible reset with every storm?

No. Florida applies the hurricane deductible once per calendar year when your claims stay with the same insurer or insurer group.

How the deductible applies to a second storm in the same year, or after a mid-year change of carrier, depends on your policy. Ask your carrier or a licensed Florida insurance agent to explain it in writing.

The hurricane deductible window opens when the National Hurricane Center issues a hurricane warning for any part of Florida and closes 72 hours after the last hurricane watch or warning for any part of Florida ends (Fla. Stat. 627.4025).

Planning a move from New Jersey to Florida? Request an appointment in the Meet with Me section below, or call (201) 970-3960.

What other Florida costs belong in the same budget?

Three more lines from the video deserve a place next to the deductible.

Homestead exemption timing. Florida's homestead exemption can reduce your assessed value by up to $50,000, but it is not automatic. You must own the home and make it your permanent residence as of January 1, then file with the county property appraiser, typically by March 1. Miss that window and you pay a full year without it. I cover this at 0:52.

I am a licensed real estate agent, not a tax professional or attorney. Confirm residency dates and tax treatment with your CPA before acting on them.

Association fees. Many Florida communities carry monthly HOA or condo fees, and some also carry special assessments. Ask for the budget, the reserve study and the last two years of minutes before you sign.

Region. Florida is not one market. Insurance, flood exposure and association costs change from the Panhandle to Palm Beach County. Watch the five regions at 3:00.

For a wider look at the insurance side, read my Florida homeowners insurance guide for NJ movers, and for the full budget comparison, see NJ vs Florida cost of living in 2026.

Insurance costs vary by property, elevation, roof age, construction type and carrier. Get a written quote from your carrier or a licensed Florida insurance agent.

By the Numbers

Hurricane deductible options insurers must offer: $500, 2%, 5% or 10% (Florida Department of Financial Services, checked November 10, 2026)
Homes insured for $250,000 or more: 2%, 5% or 10% only (same source)
Hurricane deductible applies once per calendar year with the same insurer group (same source)
Deductible window opens with a hurricane warning for any part of Florida and closes 72 hours after the last hurricane watch or warning ends (Fla. Stat. 627.4025, checked November 10, 2026)
Homestead exemption: up to $50,000 off assessed value, file by March 1 (Florida Statutes 196.031 and 196.011)

The Bottom Line

Before you fall in love with a Florida listing, ask for an insurance quote with the hurricane deductible written out in dollars. Put that number in your budget next to your closing costs. If it changes the decision, you found out at the right time.

Frequently Asked Questions

What is a 2 percent hurricane deductible in Florida?

It means you pay 2 percent of your dwelling coverage limit on a hurricane claim before the insurer pays. On $500,000 of coverage, that is $10,000.

Can I choose a flat dollar hurricane deductible in Florida?

Only on lower coverage amounts. Once a home is insured for $250,000 or more, Florida insurers must offer 2, 5 or 10 percent, and the $500 flat option is not required.

Does the Florida homestead exemption apply the year I buy?

Only if you own the home and live in it as your permanent residence on January 1 and file by the county deadline, usually March 1.

Who should I ask for a Florida insurance quote?

A licensed Florida insurance agent, using the exact property address. Location, roof age and window protection all change the price.

Meet with Me

Request an appointment or call me. Cell: (201) 970-3960 | Office: (201) 592-8900.

About Scott Selleck

Scott Selleck leads The Selleck Group at KW City Views Realty in Fort Lee and helps New Jersey homeowners plan a move to Florida. Licensed since 1993. Over 500 transactions closed.

Not ready to talk yet? Take the 7-question resource quiz (about 90 seconds).

Have a quick question first? Ask my AI assistant on Delphi. It is an AI trained on my material, not a person.

AI assistant: https://www.delphi.co/scottselleck

My story and how I work: coverstory.sellecksellsnj.com

My full production record, with sources and method: record.sellecksellsnj.com

Scott Selleck | The Selleck Group

KW City Views Realty | Licensed since 1993 | Over 500 transactions closed

SRES® (Seniors Real Estate Specialist®) | e-PRO®

2200 Fletcher Avenue, Suite 502, Fort Lee, NJ 07024

Cell: (201) 970-3960 | Office: (201) 592-8900

[email protected] | SelleckSellsNJ.com

Florida: Keller Williams Boca Raton Realty