From McGriff-Williams Insurance, an independent agency in Gainesville since 1983. Where confidence grows.
After several hard years, apartment owners in North Central and Northeast Florida finally have some better news on property insurance. Nationally, commercial property premiums fell an average of 6.3% in the second quarter of 2026, the biggest drop of any commercial line for the second quarter in a row, according to The Council of Insurance Agents & Brokers. Three out of four brokers in that survey said insurers had more room to write property, and some reported higher sublimits and lower deductibles, especially for wind and hail.
That’s a national average, not a promise. Your renewal still depends on your buildings’ age, construction, roofs, location and loss history. But when insurers are competing for business, it’s the right time to look past the price and ask about the terms. A lower premium with a weaker deductible or a lower value cap can cost you far more after a storm than you saved.
Here are seven questions we walk through with apartment owners before they renew.
1. How Is My Windstorm Deductible Figured, in Dollars?
Many Florida apartment properties, especially those with buildings of five or more units, are insured in the surplus lines market, where windstorm and named storm deductible terms vary from policy to policy. Two policies that both say “5% named storm deductible” can produce very different results. Ask:
- 5% of what? The building value alone, or the total insured value, which can include contents and loss of rents?
- Per building or per location? A deductible figured per building usually leaves you paying less on a partial loss than one figured across every building at the location.
- What triggers it? Some policies apply the deductible to any named storm, including a tropical storm. Others apply it only to hurricanes.
An illustration (example figures, not a real policy): say a community has six buildings, each insured for $2.2 million including loss of rents, and a storm does $300,000 of damage to each of two buildings. With a 5% deductible applied per building, the deductible is $110,000 per damaged building, and the policy pays about $380,000 in total. If the same 5% applies to the whole location’s $13.2 million value, the deductible is $660,000, which is more than the $600,000 loss, so the policy pays nothing.
In today’s market, it’s worth asking whether better deductible terms are available on your property. We’ll show you what each option means in dollars before you decide.
2. Is My Statement of Values Up to Date?
Your statement of values lists each building’s replacement cost, plus details like square footage, construction and roof updates. It matters more than many owners realize:
- Coinsurance. Many commercial property policies reduce a claim payment if your limit is below a set share (often 80% to 90%) of the building’s true replacement cost, even on a partial loss.
- Value caps. Some policies, especially in the surplus lines market, cap what they’ll pay for each building or location at the value you reported, or at a set percentage above it. If the value you reported is too low, that cap can stop a claim payment short.
When premiums are falling, it’s tempting to leave old values in place. Updating them with a recognized building cost estimate can lower the chance that a coinsurance penalty or a value cap cuts a claim payment short.
3. Does My Policy Include Ordinance or Law Coverage?
When an older building is damaged, today’s building code can require more work than simply putting back what was there. Ordinance or law coverage typically has three parts: the value of an undamaged portion you’re required to tear down, demolition costs, and the extra cost to rebuild to current code. Many policies include little or none of it unless you add it.
Roofs are a good example. Under Florida law, if a roof was built, repaired or replaced to the 2007 Florida Building Code or a later edition, only the repaired portion has to meet the current code, even when 25% or more of the roof is being repaired or replaced (section 553.844(5), Florida Statutes). Older roofs don’t get that exception, so a bigger repair may require bringing more of the roof up to code. If your communities have pre-2007 roofs, ask what your policy pays toward code upgrades.
4. How Long Will My Loss of Rents Coverage Last?
If a covered loss makes units unlivable, rent stops but your mortgage and payroll don’t. Loss of rents (business income) coverage replaces that income while you repair. Ask:
- Is the limit based on a realistic rebuild time, including permits and contractor schedules after a regional storm?
- Is there an extended period of indemnity to cover the months it can take to re-lease units after repairs are done?
- Is there a separate waiting period or deductible for loss of rents, and are your rents included in the value used to figure your windstorm deductible?
5. What Sublimits and Conditions Could Shrink a Claim?
The details deep in the policy often decide how a claim goes. We look for:
- Water damage limits, including separate limits for sewer backup or wind-driven rain.
- Equipment breakdown for HVAC, pumps, elevators and electrical panels. It’s often missing from apartment property policies unless you add it.
- Protective safeguards. If the policy assumes a working sprinkler or monitored alarm and that system is off without notice to the insurer, a fire loss may not be covered.
- Vacancy conditions. A building that’s empty or largely unoccupied, such as one waiting to be leased up, can trigger coverage limits after a set number of days. Policies treat renovations differently, so tell us before a major renovation starts.
6. Does My Notice Window Leave Time to Shop?
Florida generally requires licensed (admitted) insurers to give at least 120 days’ written notice before nonrenewing or canceling a commercial residential policy such as an apartment building, with shorter notice for nonpayment (section 627.4133, Florida Statutes). Surplus lines policies can carry as little as 45 days’ notice of nonrenewal (section 626.9201). That rule covers nonrenewal. If a surplus lines insurer offers to renew, even with a higher price or new terms, the offer can arrive much closer to your expiration date.
Because so much apartment property is in the surplus lines market, we suggest starting your renewal review about 120 days before your policy expires, whatever your notice window. If your property is insured with Citizens Property Insurance Corporation, Florida’s state-created insurer, it’s worth a look too. Citizens’ overall average statewide rate for commercial residential multiperil policies (excluding condominium associations), the policy type that covers apartment buildings, went up 7.2% for new and renewal policies effective on or after July 1, 2026, according to its April 30, 2026 rate announcement. Changes for individual properties vary.
7. Is My Liability Coverage Keeping Up?
Property and liability are moving in different directions. In the same survey, umbrella premiums rose an average of 5.3%, their 35th straight quarterly increase. If your property costs come down, it can be a good moment to review your liability limits and exclusions too, especially assault and battery, firearms and pool exclusions on apartment policies. Our apartment insurance page explains what we check.
Help That Goes Beyond the Policy
A good renewal is about more than insurance. For apartment owners, we also offer:
- Lease and contract reviews of the insurance requirements in your leases and vendor contracts, so they match what you need and what your own policy requires of vendors.
- Certificate guidance, so you know what to check on certificates of insurance from landscapers, pool companies, security vendors and other contractors.
- Workers’ comp and GL audit support to help you prepare for premium audits and question results that don’t look right.
- Safety and HR resources, including safety training, OSHA support and access to live HR professionals.
And remember that property policies exclude flood. If you haven’t reviewed flood coverage for your buildings and loss of rents, see our flood insurance guide.
Let’s Look at Your Renewal Together
McGriff-Williams has helped Florida property owners since 1983. As an independent agency, we compare options from multiple insurance companies, in both the standard and surplus lines markets, and we’ll tell you plainly what we see. Send us your current policy or a renewal quote, and we’ll show you what it covers and what it leaves out. Call us at (352) 371-7977 or get a second opinion.
General information, not legal or coverage advice. Coverage depends on the policy issued, its terms and underwriting. Market figures are national averages and don’t predict any one property’s renewal. McGriff-Williams Insurance is an independent insurance agency licensed in Florida. Information current as of October 2026.
