Sinkholes – Does You Florida Home Insurance Cover You?

“Top 10 Florida Home Insurance Questions”
Questions to Assure You Get the Most Florida Home Insurance Coverage for the Money

Question Number 1 – Will My Florida Home Insurance
Policy Cover Me For Sinkholes?
A sinkhole is an indentation in the ground that forms naturally, usually in an everwidening circle, when the porous limestone underneath collapses due to reduced ground water. They typically occur during a prolonged drought. The holes can be all different sizes, and the larger ones can destroy all or part of a home in a very short period of time.
So What Does This Have to Do With You?
As a homeowner, I would imagine foremost on your mind would be the question, “If my home gets gobbled up by a sinkhole, will my home insurance policy pay for it?” And the answer to that question is, “Maybe.”
Should you chose to include sinkhole coverage in your Florida home insurance policy, it will be covered. Should you decide not to, obviously, it won’t. Unfortunately, the burden is on you to add that coverage since the coverage is not mandated by the state.
In other words, the agent has to offer it to you, or you have to know to specifically ask for it.
The good news is the premium is based on the risk for your area. If you live in an area with little or no sinkhole activity, your rates will be considerably lower than those in areas with high activity.
How Is Your Agent Doing On This?
Question: Has your agent brought this to your attention and given you the opportunity to at least decline the coverage? If not, how would you feel if you woke up to find a portion of your home sinking into a ever growing hole, with no way for you to pay to repair it or pay off your home?
You would have to either make two house payments, one on your new house and one on your destroyed one, or face ruined credit or bankruptcy on the destroyed one…two really bad alternatives.
An agent who is looking out for you will make sure you know what exposures to loss you have and the different ways you can insure them. Then if you decide to decline the coverage, at least it will be your choice and not his. If your agent never even discussed this with you, what other possible losses have not been discussed?
This has been the first of the “Top Ten Florida Home Insurance Questions.” The answers to these questions will help you get the most Florida home insurance protection for the money. If you would like to view the other nine, you will find them all in video format here:
This has been a public service of

Source by FloridaPanhandle HomeInsurance

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