On a standard home insurance policy written on an HO3 form in the state of Florida, there is a section of the policy for other structures. This is commonly noted as coverage B on your declarations page.
Some carriers will automatically provide you with 10% of your dwelling coverage for other structures while other provide 2%. Your dwelling coverage is typically reflected in coverage A. If you have $250,000 in dwelling coverage for your home, your coverage would generally fall between $5,000 and $25,000.
Coverage B (other structures) is defined as the coverage for structures set apart from the dwelling by a clear space. If your detached garage is on the same parcel of land as your home and is completely detached from the home, Coverage B should be the coverage that insures the structure.
Now you simply have to determine if the coverage limit fully covers the cost of rebuilding the detached garage in the event of a total loss.
What about flood insurance?
Flood insurance, on the other hand is a bit different. A federal flood insurance policy has dwelling coverage that maxes out at $250,000 for the dwelling.
The policy verbiage states that 10% of the dwelling coverage can be used for a detached garage. The maximum amount of coverage for a detached garage on a federal flood policy is $25,000. It’s important to note that this isn’t additional coverage like the homeowner’s policy, but instead part of the dwelling coverage.
Lastly, if the detached garage is more than 10% of the dwelling, you can always purchase the detached garage its own flood insurance policy.
Want to see what insurance rates look like in your area…..get a quote online at shopitnow.chrinco.com or give me a call at 321-586-3754. Chrinco.com – insurance simplified!
Want a home insurance quote from a local agent in Melbourne, FL? Click Here to get started!
Want more tips like this?
Did you know we’re building amazing technology that will simplify insurance shopping? Want to learn more – Click Here and let us know!
Join the Chrinco.com community and follow us as we not only provide insurance tips to consumers but are also developing a new way to shop for insurance. Join the journey that we believe will change an industry.
Chrinco.com – Insurance Simplified.