If you’re a homeowner in Orlando, understanding your insurance policy is more than just fine print—it’s your financial safety net in a state known for hurricanes, humidity, and unexpected repairs.
As a local real estate investor and licensed agent, I’ve worked with hundreds of sellers who were surprised by what their insurance did and didn’t cover—especially when selling their home or dealing with post-storm damage. This guide breaks down what homeowners insurance covers in Orlando, what it typically excludes, and how to make sure you’re fully protected.
What Is Homeowners Insurance?
Homeowners insurance is a contract between you and your insurer that provides financial protection against damage to your home and personal property, and liability coverage if someone is injured on your property.
Most policies in Orlando follow the HO-3 format, which includes both property and liability coverage.
What Does Homeowners Insurance Cover in Orlando?
Let’s look at what’s typically included in a standard Florida homeowners insurance policy:
1. Dwelling Coverage (Structure)
This covers damage to the physical structure of your home caused by:
- Fire and smoke
- Windstorms (including hurricanes, minus the deductible)
- Hail
- Lightning strikes
- Vandalism or theft
- Explosions or falling objects
💡 Important for Orlando:
Windstorm coverage is included, but you will likely have a separate hurricane deductible that’s higher than your normal deductible.
2. Other Structures
Covers structures not attached to the main home, such as:
- Detached garages
- Fences
- Sheds
- Gazebos
This usually covers up to 10% of your dwelling coverage.
3. Personal Property
Covers belongings like:
- Furniture
- Appliances
- Electronics
- Clothing
Standard coverage is often 50–70% of the home’s insured value. High-value items (jewelry, art, etc.) may require additional riders.
4. Loss of Use (ALE)
If your home is uninhabitable due to covered damage, your insurance will pay for:
- Hotel stays
- Meals
- Temporary rentals
This is vital during hurricane season in Orlando when families may be displaced for weeks.
5. Liability Protection
Protects you if someone is injured on your property or you’re sued for property damage.
Standard policies offer $100K to $500K in liability coverage.
Example:
If your dog bites a neighbor or someone slips on your driveway, this coverage kicks in.
What Homeowners Insurance Doesn’t Cover in Orlando
While coverage is broad, there are key exclusions homeowners need to watch for:
1. Flood Damage (Not Included)
This is a major gap for Central Florida homeowners. Even if you’re not in a FEMA-designated flood zone, Orlando storms can trigger flash floods.
You need a separate flood insurance policy, usually through the National Flood Insurance Program (NFIP) or a private carrier.
2. Sinkholes (Limited Coverage)
Florida is known for sinkholes. Some insurers offer limited coverage, but full catastrophic ground collapse coverage is a separate endorsement in many cases.
3. Mold Damage (Often Capped or Excluded)
Due to Florida’s humid climate, mold damage may be excluded or capped at a few thousand dollars unless directly caused by a covered event (like a pipe burst).
4. Wear and Tear / Maintenance Issues
Homeowners insurance isn’t a maintenance plan. It won’t cover:
- Roof replacement due to age
- Termite damage
- Gradual plumbing leaks
- Old HVAC failure
Proactive maintenance is still your responsibility.
Optional Add-Ons Worth Considering in Orlando
You may want to enhance your policy with:
- Flood Insurance
- Hurricane or Windstorm Deductible Buybacks
- Mold Protection Rider
- Water Backup/Sewer Overflow
- Equipment Breakdown Protection (for HVAC and appliances)
How Much Does Homeowners Insurance Cost in Orlando?
As of late 2025, Florida homeowners pay some of the highest premiums in the U.S., largely due to hurricane risk and insurance market instability.
In Orlando, average premiums range from $2,500 to $4,500 per year, depending on:
- Age of your home
- Roof condition
- Proximity to water
- Coverage limits and deductibles
3 Tips to Save on Home Insurance in Orlando
- Bundle Policies
Combine home and auto to receive multi-policy discounts. - Upgrade Your Roof or Electrical Panel
Homes with recent updates qualify for significant discounts. - Raise Your Deductible
Just be sure you have emergency savings to cover it.
What If You’re Selling a Home in Orlando?
If you’re preparing to sell, understanding your policy is crucial. I often work with sellers who:
- Didn’t know a past roof claim could impact buyer interest
- Had no clue their policy wouldn’t transfer
- Needed help navigating property disclosure laws tied to past damage
Reminder: Florida requires sellers to disclose known material defects — including past insurance claims that impacted the structure or systems.
Need Help Selling a Home with Insurance Concerns?
At Frank Jr. Buys Houses, I help Orlando-area sellers:
- Sell as-is, even with insurance claim history
- Navigate home inspection issues tied to policy lapses
- Avoid buyer fallouts due to insurability red flags
Whether you’re looking to sell fast, rent out, or cash in your equity without repairs, I offer flexible selling solutions — no commissions, no pressure.
Get a No-Obligation Cash Offer Here
Final Thoughts: What Does Homeowners Insurance Cover in Orlando?
In summary, here’s what to remember:
Covered: Fire, theft, wind, personal liability, and temporary living costs
Not covered: Floods, sinkholes (usually), mold, and maintenance
Bonus tip: Evaluate your deductibles, add flood insurance, and know your exclusions
If you’re selling or need clarity on what repairs your policy might cover (or not), I’d be happy to walk you through it — no cost, no strings.
FAQs
Is hurricane damage covered by Orlando home insurance?
Yes, but you’ll likely have a separate hurricane deductible, which is usually 2–5% of your dwelling coverage.
Do I need flood insurance in Orlando?
While it’s not legally required, flood insurance is strongly recommended — even in non-coastal areas due to heavy rains and poor drainage.
Can I sell my house if there was a past insurance claim?
Yes, but you must disclose the issue. I often buy homes where insurance claims have affected resale value.