Florida Regulator: Insurers Can Offer Roof Deductibles

TALLAHASSEE, Fla. – Florida has had a rash of insurance claims alleging damaged roofs covered under their homeowner’s property insurance policy, and the 2022 Florida Legislature considered a fix that would have charged homeowners a deductible if their roof needed replacement following a covered event. However, the bill, SB 1728, passed the Senate but failed in the House.

While the Florida Legislature may return to Tallahassee for a special session to discuss the state’s property insurance challenges, it’s generally not expected to do so before November after a new House Speaker takes over.

On Wednesday, however, the Florida Office of Insurance Regulation (OIR) announced that it would allow insurers to offer roof-replacement deductibles as an option in their policies.

While SB 1728 would have made the roof deduction mandatory for all state policy holders, OIR will make it an option insurers will offer if they’re approved to do so. It would likely be something in the form of a premium reduction for homeowners willing to take a risk and hope that their roof won’t be damaged in a future storm.

“That will give companies more latitude,” William Stander, director of the Florida Property & Casualty Association, told the Insurance Journal. “We’re glad to see OIR moving forward on this.”

It’s unclear how much OIR’s new option might change the Florida property insurance market, however, since it largely depends on the number of homeowners willing to choose the option.

Source: 2022 Insurance Journal, William Rabb

© 2022 Florida Realtors®

And read these recent articles:
Why are Mortgage rates so high?
Time to Consider an Adjustable Rate Mortgage (ARM)
The Federal Reserve and Mortgage Rates
Naples Beach prices drop 47%? Not so fast
Naples YTD February: sales plummet, prices soar
The Great Resignation’s Effect on Florida Real Estate

Federal Reserve: “Make me responsible…. but not yet”
Guide to Buying and Selling in Southwest Florida
Naples Year End Market Report by Location and Property Type
Fort Myers Beach 2021 Market Report
Bonita Springs 2021 Market Report
Sanibel/ Captiva 2021 Market Report

Andrew Oliver, M.B.E., M.B.A.
Real Estate Advisor

m: 617.834.8205


800 Laurel Oak Drive, Suite 400, Naples, FL 34108

Licensed in Massachusetts