Living in Hollywood, Florida means year-round sunshine, beach access, and a vibrant coastal lifestyle. It also means navigating some of the most complex insurance requirements in the country. Between hurricane season, flood zones, and Florida's unique no-fault auto insurance system, protecting your property and your family requires understanding what coverage you actually need versus what's just nice to have. Here's everything Hollywood residents should know about securing the right insurance in 2024 and beyond.
Understanding Hollywood's Flood Zone Reality
Here's what catches many Hollywood residents off guard: over 11,000 properties in the city fall within FEMA's Special Flood Hazard Area. If you have a federally backed mortgage and live in one of these high-risk zones (designated as A, AE, V, or VE), flood insurance isn't optional. Your lender requires it. But even if you own your home outright or live in a moderate-risk zone, the reality is that flood damage can happen anywhere in Hollywood, and your standard homeowners policy won't cover a single drop of water damage from flooding.
The coastal geography matters here. Properties east of US1, especially those near the Broadwalk along the Atlantic Ocean, face the highest risk. These areas fall into V zones, which are coastal high-hazard areas that face additional risks from storm waves. If you're renovating or repairing a property in these zones and the cost exceeds 50% of your home's market value, you may be required to elevate your structure or make other flood protection improvements.
The good news? In 2024, FEMA updated its flood maps and removed 2,115 Hollywood properties from mandatory flood insurance requirements. That said, FEMA still recommends everyone obtain flood coverage through the National Flood Insurance Program. Flood policies typically have a 30-day waiting period before coverage begins, so don't wait until a storm is approaching to purchase one.
Citizens Property Insurance and New Flood Requirements
If you carry homeowners insurance through Citizens Property Insurance Corporation, Florida's insurer of last resort, pay attention to this phased rollout. Citizens now requires policyholders with wind coverage to maintain flood insurance based on a specific timeline. As of January 1, 2024, properties valued at $600,000 or more must carry flood coverage. That threshold drops to $500,000 on January 1, 2025, then $400,000 on January 1, 2026. By January 1, 2027, all Citizens policies with wind coverage must include flood insurance regardless of dwelling value.
There's an important exception to this timeline: if your property sits in a Special Flood Hazard Area, you must comply immediately when your Citizens policy renews, no matter your home's value. This isn't just a suggestion from Citizens. It's a policy requirement that could result in non-renewal if you don't maintain the flood coverage.
Homeowners Insurance Costs and Hurricane Season
Let's talk numbers. The average cost of homeowners insurance in Hollywood ranges from about $3,663 to over $10,000 annually, depending on your property's location, age, construction type, and coverage limits. Coastal properties near the Broadwalk and east of US1 typically face the higher end of this range. Miami, Fort Lauderdale, and Hollywood all see average annual premiums exceeding $7,000, driven primarily by hurricane risk and coastal exposure.
Hurricane season runs from June 1 through November 30 every year. In 2024, Florida was hit by three hurricanes: Debby, Helene, and Milton, generating over $5 billion in insured losses across the state. While those losses were described as moderate compared to what could have occurred, insurance companies don't just look at one or two years when setting rates. They evaluate long-term trends and patterns, and Southeast Florida remains the most vulnerable part of the state for hurricane risk.
Your homeowners policy should include dwelling coverage, personal property coverage, liability protection, and additional living expenses if you're displaced during repairs. Wind coverage, which protects against hurricane damage, is typically included but may come with higher deductibles in coastal areas. Review your policy annually and make sure your coverage limits reflect current replacement costs, not just your home's market value.
Florida's No-Fault Auto Insurance System
Florida operates under a no-fault auto insurance system, which means after an accident, you file a claim with your own insurance company first, regardless of who caused the crash. Every driver with a registered vehicle in Florida must carry a minimum of $10,000 in Personal Injury Protection (PIP) and $10,000 in Property Damage Liability (PDL). PIP covers 80% of necessary and reasonable medical expenses up to $10,000 resulting from a covered injury. The catch? You must receive initial medical treatment within 14 days of the accident to be eligible for PIP benefits.
Here's the gap that surprises many Florida drivers: the state is one of only two in the country that doesn't require bodily injury liability coverage. This creates significant financial exposure if you cause an accident that seriously injures someone else. Their medical bills could easily exceed hundreds of thousands of dollars, and without bodily injury coverage, you'd be personally liable for those costs. Most insurance experts strongly recommend adding bodily injury liability to your policy even though it's not required by law.
There's pending legislation that could change Florida's auto insurance landscape. Senate Bill 1256 proposes eliminating the PIP system and replacing it with mandatory bodily injury coverage of $25,000 per person and $50,000 per incident, effective July 1, 2026. Until that potential change takes effect, the current PIP and PDL requirements remain in place.
Practical Steps to Protect Yourself
Bundle your policies when possible. Many insurers offer discounts when you combine homeowners and auto insurance. Document your belongings with photos or video for insurance purposes. If you need to file a claim after a hurricane or flood, having this documentation makes the process significantly easier. Consider increasing your liability limits on both your homeowners and auto policies. The minimum required coverage often isn't enough to protect your assets if something serious happens.
Review your coverage before hurricane season begins each June. Make sure you understand your deductibles, especially your hurricane deductible, which is often calculated as a percentage of your dwelling coverage rather than a flat dollar amount. A 2% hurricane deductible on a $400,000 home means you'd pay $8,000 out of pocket before insurance kicks in.
Getting Started with Your Insurance Review
Insurance in Hollywood isn't one-size-fits-all. Your specific needs depend on your property's location, whether you have a mortgage, your property value, and how much financial risk you're comfortable assuming. The key is understanding what's legally required, what's highly recommended, and where the gaps in standard coverage exist. Work with an insurance agent familiar with Hollywood's unique coastal risks who can help you build a comprehensive protection plan that covers hurricanes, floods, liability, and everything in between. The peace of mind is worth the investment, especially when hurricane season rolls around each summer.
