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How does the hurricane deductible work in Florida?
In Florida, home insurance policies have a separate hurricane deductible, usually a percentage of the dwelling coverage rather than a flat dollar amount. Under Florida Statute 627.701, insurers must offer options of $500, 2%, 5% and 10% of the dwelling limit. On a home insured for $1 million, a 2% hurricane deductible means you pay the first $20,000 of hurricane damage; at 5%, the first $50,000. The deductible applies once per calendar year, not once per storm, if all losses are with the same insurer, and it covers windstorm damage during a hurricane, not flood.
By Erika Schell, P.A. | September 2026
Key takeaways
- The hurricane deductible in Florida is usually 2%, 5% or 10% of your dwelling coverage, so on a luxury home it can be tens of thousands of dollars.
- Florida’s hurricane deductible applies on a calendar-year basis: after a first hurricane, a second one the same year uses the greater of the remaining hurricane deductible or your regular deductible.
- A condo’s master policy has its own hurricane deductible, and a large one can turn into a special assessment for owners.
When buyers compare homes in Miami, they compare prices, taxes and HOA fees. Few compare the hurricane deductible, and it can be one of the largest out-of-pocket costs of owning a home here. As a REALTOR® with a finance background, I ask every client to price it before closing.
Hurricane deductible vs. regular deductible
Your policy has two deductibles:
- The all other perils (AOP) deductible, a flat amount such as $1,000 or $2,500, for losses like fire, theft or plumbing leaks.
- The hurricane deductible, which applies to windstorm damage during a hurricane. In Florida, the hurricane period starts when a hurricane watch or warning is issued for any part of the state and ends 72 hours after the last watch or warning ends. Your home does not need to be in the direct path.
What it costs on a Miami luxury home
| Dwelling coverage | 2% deductible | 5% deductible | 10% deductible |
|---|---|---|---|
| $500,000 | $10,000 | $25,000 | $50,000 |
| $1,000,000 | $20,000 | $50,000 | $100,000 |
| $2,000,000 | $40,000 | $100,000 | $200,000 |
| $3,000,000 | $60,000 | $150,000 | $300,000 |
The percentage applies to the dwelling limit (Coverage A), not to the home’s market value or the size of the claim. A higher deductible lowers the premium, but it means keeping more cash available after a storm.
The calendar-year rule
Florida law applies the hurricane deductible on an annual basis to all covered hurricane losses in a calendar year, across policies with the same insurer or insurer group. If you already had a hurricane loss that year, a second hurricane uses the greater of the remaining hurricane deductible or your AOP deductible. If you switch insurers mid-year, that credit does not carry over. This is one reason to review coverage before hurricane season, not during it.
What the hurricane deductible does not cover: flood
Storm surge and rising water are flood damage, which standard homeowners policies exclude. Flood requires a separate policy from the National Flood Insurance Program or a private insurer, with its own deductible and waiting period. Our guide to flood insurance for Florida luxury homes explains how to evaluate that risk.
Condo owners: two hurricane deductibles to know
If you own a condo, the association’s master policy covers the building and has its own hurricane deductible, often a percentage of a very large building value. When a storm damages the building, the association pays that deductible, and it may fund it through reserves or a special assessment on owners. Your HO-6 policy covers your unit’s interior and personal property, and many include loss assessment coverage that can help pay your share. Read our guide to condo special assessments in Florida and our analysis of the Miami condo market in 2026.
How to choose the right hurricane deductible
- Start with cash. Choose a deductible you could pay from savings after a storm without selling investments or borrowing.
- Compare the premium savings. Ask your agent for quotes at 2%, 5% and 10% and divide the yearly savings by the extra deductible to see how many storm-free years it takes to break even.
- Check your lender. Many mortgage lenders limit how high your hurricane deductible can be, so confirm before choosing 10%.
- Reduce the risk. Impact windows, a newer roof and roof-to-wall connections can qualify for wind mitigation discounts and reduce damage. A wind mitigation inspection documents them.
- Review every year. Your dwelling limit usually rises with rebuilding costs, which raises a percentage deductible automatically.
For buyers: price insurance before you commit
Get an insurance quote, including the hurricane deductible, during your inspection period. Older roofs, the age of the home and its location can change both the premium and the options available. Insurance is part of the true monthly cost of a home, just like taxes; see our guides to Miami property taxes and homestead and closing costs on a Miami luxury home. If you are comparing areas, our article on Doral vs. Miami covers location and flood differences.
Frequently Asked Questions
What is a typical hurricane deductible in Florida?
Common choices are a 2% or 5% hurricane deductible, calculated on the dwelling coverage. Insurers must offer $500, 2%, 5% and 10% options under Florida Statute 627.701.
Does the hurricane deductible apply to each storm?
No. It applies once per calendar year for hurricane losses with the same insurer. A second hurricane the same year uses the greater of the remaining hurricane deductible or the regular deductible.
When does the hurricane deductible apply instead of the regular deductible?
For windstorm damage during the hurricane period, which begins when a hurricane watch or warning is issued for any part of Florida and ends 72 hours after the last watch or warning ends.
Does the hurricane deductible cover flood damage?
No. Flood and storm surge are excluded from standard homeowners policies and require separate flood insurance with its own deductible.
How much is a 2% hurricane deductible on a $1 million home?
If the dwelling coverage is $1,000,000, a 2% hurricane deductible is $20,000. It is based on the dwelling limit, not on the home’s market value.
Buying or selling before hurricane season?
I help my clients get insurance quotes early, compare the real cost of ownership between homes and plan closings around the season. Reach out through the contact page or call (786) 801-4442. I work in English and Spanish.
About Erika Schell, P.A.
Erika Schell is a Luxury Certified REALTOR® with The Keyes Company, affiliated with Forbes Global Properties, and an 8-time Top Producer at Keyes Doral serving buyers, sellers, and investors across Miami-Dade County. Florida Real Estate License #3366404. With a Master’s in Finance and more than 20 years of corporate experience, Erika brings the precision of a financial analyst to every luxury transaction. This article is general information, not insurance or legal advice; confirm your coverage with a licensed insurance agent. Sources: Florida Statutes, section 627.701; Florida Office of Insurance Regulation.