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FLORIDA
The Danger Beyond the Storm
Florida may be known for a high volume of natural disaster-
related damage, but according to a study from Location Inc.,
Florida also has the highest volume of non-weather-related damage.
According to the study, while 1 in 15 homeowners will experience
damage that results in a non-weather water claim during the
standard five-year insurance policy lifecycle, in Florida, that number
jumps to 1 in 3 at the highest, with an average claim probability of 1
in 9.
Miami-Dade County is considered the most at risk for non-
weather-related damage, with an average claim probability of 1 in
5. Outside of Florida, California and Maryland are at the highest
risk for non-weather-related damage by state, with an average claim
probability of 1 in 10 in each state.
Unlike the storms that hit Florida's coastline too often, these
damages often occur inside the home. Damages can include
appliance leaks and failures, plumbing leaks and pipe failures,
fixtures leaks and failures, or ruptured connecting hoses. In total,
Location Inc. notes that insurers lose $8.2 billion a year from
plumbing and appliance leaks, and the average costs for repair is
around $6,695. Repairs can cost much more, however, as non-weather
water claims vary by location, ranging from $1,354 to $44,686.
In Florida, private insurers are focused mainly on non-weather-
related risks, and commentary from the Harvard Business Review
states that no private insurance companies retain residential flood
risk in Florida, Virginia, and other coastal markets due to sea levels,
and programs such as the National Flood Insurance Program keeps
residents insured.
ere is also a lack of restrictions on where one can build and
what can be built. "A society that prides itself on free will and self-
determination is loath to say what a property owner can and cannot
build on their own land as long as it meets rudimentary building
and zoning codes: So more and more people move into harm's
way in flood plains, low-lying coastal areas, and tinder dry western
landscapes," the report states.
