BuildersRiskNerd has shopped builders risk in every Florida county, from Monroe to Escambia. Here’s what the market actually looks like in 2026.
Florida’s builders risk market broke between 2021 and 2023. Eight Florida-domiciled property carriers went under. The standard market pulled back. Most projects today get placed through surplus lines instead.
That changes the price, the deductible math, and how long your quote takes to come back. The coverage itself still works the same way. The carriers, the wholesale brokers, and the paperwork are different.
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Why Florida is different
Florida’s property market is the most disrupted in the country. Between 2021 and 2023, at least eight Florida-domiciled carriers went insolvent: St. Johns, Avatar, Southern Fidelity, Weston, FedNat, and United Property & Casualty among them. Lighthouse Property Insurance Corp out of Louisiana failed too, with a big Florida book. Each failure pushed policies into the residual market or off the standard market entirely.
Builders risk took the hit fast. Standard admitted carriers that wrote builders risk in Florida five years ago either pulled out, dialed appetite back to inland-only, or pushed minimum premiums past what most projects could absorb. Surplus lines carriers stepped in to fill the gap. GCs who had policies with United Property & Casualty in 2023 know how this plays out: the insolvency notice arrives, the policy gets transferred or canceled, and the next renewal lives on E&S paper at a different price.
A few other things unique to Florida:
Citizens Property Insurance Corporation is the state-backed insurer of last resort. Citizens hit ~1.4 million policies in late 2023 and has shrunk since, down around 40% by early 2025. Citizens leaves most ground-up commercial builders risk to the private market, but its dwelling forms can sometimes step in for homeowner-managed renovations when no other market will take the risk.
The Florida Office of Insurance Regulation (OIR) approves rates, products, and forms for admitted carriers. Surplus lines carriers file outside the OIR rate process, which is why E&S premiums move with the wind market and why two carriers can quote the same project very differently.
Senate Bill 2A (December 2022) killed Florida’s one-way attorney fee statute and reformed assignment of benefits (AOB) rules. That cut the litigation tail that broke most of the prior insolvent carriers. New capacity is finally coming back to the standard side. Builders risk is still mostly E&S for now.
Florida builders risk is still very much insurable. It costs more. It splits across more carriers. And it rewards a broker who knows which markets are open this month.
Hurricane and named-windstorm coverage
Florida builders risk almost always includes wind, named windstorm and all. That’s different from Texas tier 1, where wind sits outside the policy and contractors buy a separate windstorm policy through TWIA. In Florida, the wind sits right in the builders risk form. Galveston GCs build that math separately. Florida GCs see one premium with the wind baked in.
The catch is the deductible. Most Florida builders risk policies carry a separate named-storm deductible of 2% to 5% of the completed value of the project, sometimes higher on coastal jobs. That sits on top of the all-other-perils (AOP) deductible, which usually runs $1,000 to $5,000.
Real numbers. A custom builder doing a $500,000 ground-up in Broward County, 5% named-storm deductible: the contractor eats the first $25,000 before the policy pays a dollar. A $2 million Boca Raton custom home: $100,000 out of pocket. Most contractors learn this math the hard way, after the storm.
The deductible kicks in when the National Hurricane Center issues a named-storm warning that touches the project’s county, not when the storm makes landfall. Some forms also trigger on a watch. Read the form. Different carriers use different definitions, and the AOP deductible can apply to wind damage from a regular thunderstorm with 70 mph gusts.
Two things most contractors miss. First, the named-storm deductible fires once per storm, not once per policy term: two hurricanes in the same season means the deductible eats twice. Second, soft costs (loan interest, permits, lost rent) usually carry the same named-storm deductible, not the lower AOP deductible. That doubles the bite on a long project.
Surplus lines vs. admitted carriers in Florida
Most Florida builders risk today gets placed through surplus lines (E&S) carriers. From the contractor’s seat, the mechanics are the same: the certificate looks identical, the lender accepts it the same way, the carrier still has to be A-rated by A.M. Best. What changes is the cost stack on top of the premium and the safety net behind it.
Florida’s surplus lines layer on a builders risk policy:
- 4.94% surplus lines premium tax (down from 5% effective July 1, 2020 under HB 7097)
- 0.06% FSLSO service fee paid to the Florida Surplus Lines Service Office
- EMPA surcharge of $4.00 flat per commercial policy at inception
- Surplus lines agent policy fee if the wholesale broker charges one, usually $50 to $250
On a $4,000 base premium, that’s roughly $200 in tax plus minor fees. Negligible on small jobs. Real money on big ones.
Here’s the trade-off most contractors don’t catch. Admitted carriers sit behind the Florida Insurance Guaranty Association (FIGA): if one fails mid-project, FIGA pays. Surplus lines carriers sit on their own. If an E&S carrier fails, you join the line of creditors in the receivership. That’s why A.M. Best ratings matter on E&S placements, and why a wholesale broker who sticks to A- or better carriers is doing the job correctly. The certificate to the lender shows the carrier name, the rating, the limits, the term, and the named insureds. The FIGA story stays under the hood. GCs running multi-family in coastal counties usually ask about it after their second carrier change in three years.
Coastal vs. inland Florida pricing
Florida builders risk pricing is mostly a wind problem. The closer to open water, the higher the rate. Approximate ranges per $1,000 of completed value, 12-month term, $500K residential project, no claims:
| Tier | Counties (typical) | Rate per $1,000 | Sample 12-month premium |
| High coastal | Miami-Dade, Broward, Monroe, Palm Beach | $9 to $15+ | $4,500 to $7,500+ |
| Mid coastal | Hillsborough, Pinellas, Sarasota, Lee, Collier | $6 to $10 | $3,000 to $5,000 |
| Panhandle coastal | Bay, Walton, Escambia, Okaloosa | $5 to $9 | $2,500 to $4,500 |
| North-central inland | Orange, Marion, Alachua, Seminole | $3 to $5 | $1,500 to $2,500 |
| Panhandle inland | Leon, Jackson, Holmes | $3 to $5 | $1,500 to $2,500 |
Barrier islands like Key Biscayne, Fisher Island, and Longboat Key push above the high-coastal range. They often need a separate wind layer through a specialist E&S market. A site zoned for 150+ mph design winds prices very differently than the same building in an inland 130 mph zone.
A few things move pricing inside a tier: project type, dry-in timing, frame vs. masonry, and contractor experience with the build. For deeper math on what drives premium, see what drives builders risk cost.
Building code considerations and wind mitigation
Hurricane Andrew flattened South Miami-Dade in 1992. Florida responded with the strictest residential wind code in the country. The Florida Building Code sets specific wind design standards by zone. The High-Velocity Hurricane Zone (HVHZ) covering Miami-Dade and Broward sits at the strictest end.
Code compliance during construction can move the builders risk rate, sometimes meaningfully. A few features that consistently lower premium:
- Hurricane straps and continuous load path from foundation to roof. Required by code on new construction. Photo documentation during framing helps the underwriter price it correctly.
- Impact-rated windows and doors rated for the local design wind speed. Required in the HVHZ, optional but rate-relevant outside.
- Hip roofs vs. gable. Hip geometry takes wind better and most carriers acknowledge it in rating.
- Roof-to-wall connections rated for the wind zone. Old toe-nailed connections can disqualify a renovation from preferred markets.
The detail most contractors miss: getting the structure dried-in before June 1 versus mid-July changes the underwriter’s risk calculus. Many carriers want to see a dried-in structure before binding mid-season, or they add a wind exclusion or surcharge. Custom builders in Naples and Sarasota who time their starts for fall have an easier time finding capacity than spring starts that drag dry-in into August. Sequence dry-in first if you’re starting in late spring. For HVHZ projects, the underwriter will ask for engineering letters and product approval numbers before quoting.
When to add endorsements in Florida
The base Florida builders risk form covers the major perils. A few endorsements come up often enough on Florida projects to flag. For the full add-on list, see our breakdown of named-storm and flood endorsements.
- Flood, separate from named-storm coverage. Builders risk covers wind-driven rain through a covered opening like a storm-broken window. Storm surge, rising water, and coastal flooding sit outside the form. Projects in an A or V flood zone need a builders risk flood endorsement or a separate NFIP/private flood policy. Lenders in flood zones expect to see it on the COI.
- Soft costs for projects with construction loans, especially commercial and multi-family. A six-month delay on a $3M project after a hurricane often costs more in soft costs than in physical damage.
- Increased cost of construction (ICC) for coastal projects where a post-loss rebuild has to meet current code. Useful when the original structure was permitted under an older code cycle.
When you can probably stay basic: short renovation projects under $200K, inland sites with no flood exposure, dry-in done before hurricane season. The base form usually does the job. For the full list of the standard builders risk coverage form, see the coverage page.
How to buy builders risk in Florida
Three steps:
- Submit project details on the BuildersRiskNerd quote page: location, project type, completed value, term, contractor information.
- We shop the project to surplus lines and admitted markets that are open for that county and project type. Most Florida placements take an extra 24 hours. The wholesale broker has to bind through the E&S carrier and file with FSLSO.
- Once the policy binds with the carrier, the certificate goes to the lender, the project owner, and any additional insureds the contract names.
For comparison on how coastal pricing works across the Gulf, our Texas coastal builders risk page covers the wind market in TWIA-region counties. Texas works very differently from Florida.
FAQ
Does builders risk insurance in Florida cover hurricane damage?
Yes. Florida builders risk policies almost always include hurricane and named-windstorm coverage. The catch is the named-storm deductible, usually 2% to 5% of completed value, separate from the all-other-perils deductible. On a $500K project at 5%, that’s $25,000 out of pocket per storm before the policy pays.
Why is most Florida builders risk written through surplus lines?
A wave of carrier insolvencies between 2021 and 2023 plus high hurricane exposure drove most standard admitted carriers out of the Florida builders risk market or pushed them inland-only. Surplus lines carriers fill the capacity gap. The certificate looks identical to the lender. The catch: surplus lines policies sit outside the Florida Insurance Guaranty Association if the carrier goes insolvent.
How much does builders risk insurance cost in Florida?
It depends mostly on county and proximity to coast. A $500K residential project, 12-month term, no claims: roughly $1,500 to $2,500 inland, $3,000 to $5,000 mid-coast, and $4,500 to $7,500+ in Miami-Dade, Broward, Monroe, or Palm Beach.
What is course of construction insurance in Florida?
Course of construction is the same product as builders risk, just a different name. Some lenders and contracts use “course of construction” specifically. Others use “builders risk.” Florida policies use both terms interchangeably on the form.
Does Citizens Property Insurance write builders risk?
Citizens is the state-backed insurer of last resort and primarily writes residential property, not traditional commercial builders risk. Some Citizens dwelling forms can step in for homeowner-managed renovations or limited new construction when no admitted or surplus lines carrier will take the risk.
How long does it take to get a builders risk quote in Florida?
Inland projects often quote same-day or next-day. Coastal Florida projects, especially Miami-Dade, Broward, Monroe, and Palm Beach, usually take 24 to 72 hours. The placement runs through wholesale brokers and surplus lines markets that need to confirm capacity and price the wind exposure.
Get a Florida builders risk quote with BuildersRiskNerd: submit once, get carrier options for your county and project. No pressure, no callbacks unless you want them.
BuildersRiskNerd is a brand of ContractorNerd Insurance Services, LLC, a licensed insurance producer (CA License #6015566). All insurance products and services are offered through ContractorNerd Insurance Services, LLC. We’re a broker, not an insurer. Policies are underwritten by admitted and non-admitted carriers including A-rated surplus lines markets active in Florida.
External resources: Florida Office of Insurance Regulation, Citizens Property Insurance Corporation, Florida Surplus Lines Service Office, NOAA National Hurricane Center.