Residents of The Villages in Florida, seen here at the development's polo stadium, pay on average more for their homeowners' insurance premiums than the national average. | By Whoisjohngalt/Wikimedia Commons
Average homeowners’ insurance premiums costs in The Villages fall far below the highest rates in the nation, which are found 361 miles to the south in the Florida Keys.
Residents of The Villages in ZIP code 32162 pay an average of $2,920 for their homeowner’s policy on a home valued at $300,000 with a $1,000 deductible and $300,000 in liability, Insurance.com’s Home Insurance Calculator reported.
Contrast that with the rates at the Islamorada Village of Islands (ZIP code 33070), where the premium reaches $6,295 for similar coverage. That premium cost was more than 2.5 times the national average of $2,305. But the highest premium found in The Villages approaches those high costs at $6,060. The lowest policy cost for the homeowner is $977, Insurance.com reported.
The Villages in 32162 do pay more than the national average. Neighboring properties in 32159, which centers on Lady Lake, pay a few dollars more than that for the same coverage at $2,965. But the highest rate was several hundred dollars lower at $5,795, while some policyholders are paying as little as $983.
What makes the prices vary so much? Insurance.com lists factors such as the home’s location, exposure to extreme weather such as named storms, wildfires or criminal activities, how close it is to a fire station and the home’s age. Other key elements include the cost to rebuild a home, local construction costs and risk exposure on a property, such as swimming pools, trampolines, guest houses or aggressive dog breeds.
Factors that can lower insurance premiums include a low crime rate, few major liability lawsuits filed in the neighborhood and many well-organized neighborhood watch groups, Insurance.com reported.
Insurance.com warns homeowners that most home insurance policies only include $100,000 in personal liability insurance, which the website reported as too little coverage. This insurance pays out for medical expenses of people hurt in one's home or on their property, or damages caused to neighbors’ property. The website recommends $300,000 as minimum coverage.
The deductible affects how much policyholders will pay for repairs when filing a claim, the website reported. It recommends choosing a high deductible for a lower premium with the understanding that you’ll pay that much more for any repairs when making a claim.
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