Florida insurance for older roof (17 years)

7 Replies

My agent in Florida informed me that Universal Insurance Company of North America isn't renewing my policy for an Orlando rental property, which is apparently what they are doing for a lot of policyholders this year. When the agent then went to pull quotes for other carriers, they said nothing came up because my roof is "too old" (around 17 years). There are currently no active leaks and I would estimate at least another 2-5 years on it. Another agent told me the same thing. I have about 30 days left to find new coverage.

Anyone familiar with this issue in Florida and know what options or carriers could work for me until I actually need to replace the roof rather than being forced to replace it prematurely? 

@Jibu V. you probably need to go the last resort, Citizens (JUA). This is life right now. There has been so much insurance fraud, and the insurance companies don’t want to get stuck. We manage over 1400 homes all over Florida, as well as own investment properties, and this last year we have seen so many cancellations and increase insurance costs than ever before

Hi @Jibu V.

Here are a couple for you to try. Yes, this is a big issue in Florida. Insurances carriers are basically fighting back against roofing companies that have been taking advantage of them for years with 'hurricane damage'. Now most carriers will not renew or if they do get a claim, only pay out what the usable life is left on the roof. Good Luck

Colleen with Secured Insurance 407-725-3413

NRIG-888-741-8454

Originally posted by @Jibu V. :


Anyone familiar with this issue in Florida and know what options or carriers could work for me until I actually need to replace the roof rather than being forced to replace it prematurely? 

 Jibu,

This is a big problem for me as well. I have 7 properties, and all but 1 of them have the original roofs which are currently 3-tab shingles and they range in age from 11 years old to 18 years old. All of the insurance brokers I talk with say that once your roof age goes over 15 years old, a lot of carriers will drop you completely, with the others jacking up the rate significantly. All of my insurance rates have gone up by a few hundred bucks per house.

Also 1 thing they mentioned about rising insurance rates:   As home pricing increase, so does the dwelling coverage and the cost to rebuild, which makes the policy more expensive. Just food for thought.


Hope this helps,

Matt

@Jibu V.

So far for me, I need to have a $150 roof inspection every year that certified that the life expectancy is at least 5 more years.

@Kim Meredith Hampton

Thanks, it sounds like Citizens is currently my only option based on what my agent just came back with. Do you know what the downside is of going with Citizens? The premium doesn’t seem bad so I am wondering if there is another risk in using them.

@Jibu V. One issue is that Citizens coverage limits are often lower/more restrictive (only $100k liability). We have seen a lot of properties go to Excess & Surplus carriers instead of Citizens. They are less regulated than admitted carriers (like Universal) and are willing to accept different risks. For example some will offer Actual Cash Value (ACV) coverage for older roofs. While not ideal, it is often better than writing with Citizens or getting a new roof. 

@Jared Townsend

Thanks - with the $100K liability coverage limit, why not supplement that with an umbrella policy? I’ve been presented with a couple of Excess & Surplus quotes but they are $1K to $2K MORE than the Citizens quote.

I’m not sure how much lower they would be if the roof was replaced. However, at those higher rates, it seems like I’d be better off replacing the roof ASAP.