Florida Insurance Guaranty Association (FIGA): Limits, Deadlines and the Assessment

If your Florida home insurer is ordered into liquidation, the Florida Insurance Guaranty Association (FIGA) takes over your covered claims, but only up to $300,000 per claim, plus an extra $200,000 for the part of a homeowners claim that's damage to the structure and contents. Your policy itself doesn't survive. It gets cancelled on a date the court sets, and you have to replace it.

That's the short answer. The longer one matters if you have an open claim, a big loss, a condo association policy or a mobile home, because the limits, the deadlines and the exceptions are where people get hurt. And there's one piece of good news for every Florida policyholder this month: the 1% FIGA emergency assessment that has been on Florida home policies since 2023 is no longer charged on policies that take effect on or after October 1, 2026.

Source: s. 631.57; FIGA, Assessments (accessed Oct. 24, 2026).

What FIGA is, and what it isn't

FIGA is a nonprofit corporation created by the Florida Legislature in 1970 under part II of Chapter 631, Florida Statutes (s. 631.55). Every insurer licensed to write the covered kinds of property and casualty insurance in Florida has to be a member as a condition of doing business here. When a member fails, FIGA steps into its shoes for covered claims: it is "deemed the insurer" to the extent of its obligation, with the insolvent company's rights, duties and defenses (s. 631.57(1)(b)).

The statute states the purpose plainly: to pay covered claims "to avoid excessive delay in payment and to avoid financial loss to claimants or policyholders because of the insolvency of an insurer" (s. 631.51). Without it, a homeowner with a hurricane claim would be one more creditor waiting for the court to wind up the estate.

Three things FIGA is not:

• Not a replacement policy. FIGA's own FAQ says guaranty associations "do not offer a 'replacement policy.'" It pays claims and refunds premium. Coverage going forward is your job.
• Not funded by the state. The law says state funds "may not be allocated or paid to the association" (s. 631.57(3)(d)). The money comes from what's left in failed insurers' estates, investment income, and assessments on insurers that are passed on to policyholders.
• Not the receiver. The Florida Department of Financial Services (DFS) is the court-appointed receiver of a failed Florida insurer. Its Division of Rehabilitation and Liquidation runs the estate, collects the assets and handles claims that aren't FIGA's. FIGA handles covered policy claims.

A covered claim is an unpaid claim, including one for unearned premium, that falls within the coverage and limits of a policy issued by a member insurer that becomes insolvent, where the claimant or insured lived in Florida at the time of the loss or the property is permanently located here (s. 631.54(4)). "Insolvent" has a specific meaning: a court has entered a liquidation order with a finding of insolvency, and the order is final. A company in rehabilitation or under supervision hasn't triggered FIGA yet.

How much FIGA pays

The limits are in s. 631.57(1)(a). The statute's wording is "each covered claim which is less than $300,000," with an "additional $200,000 for the portion of a covered claim which relates only to the damage to the structure and contents" on homeowner's policies. FIGA describes it in plain terms on its FAQ: covered claims up to $300,000, an additional $200,000 for dwelling (Coverage A) and contents (Coverage C) on homeowners claims, and for condo and homeowners association claims the lesser of the policy limits or $200,000 times the number of units.

Source: s. 631.54; s. 631.57; FIGA FAQ (accessed Oct. 24, 2026).

Three details in that table are easy to miss.

Mobile homes don't get the extra $200,000. The definition of "homeowner's insurance" in s. 631.54(7) "excludes all coverage for mobile homes, renter's insurance, or tenant's coverage." Those policies are still covered, but at the $300,000 cap.

The extra $200,000 is only for the house and your belongings. If part of your claim is additional living expense or a liability claim against you, that part has to fit under the base $300,000.

The $100 FIGA deductible is gone for newer cases. According to FIGA, claims against companies liquidated before July 1, 2021 carry a $100 FIGA deductible on top of the policy deductible; the Legislature removed it for companies liquidated on or after that date. Your own policy deductible, including a hurricane deductible, still applies. If you're not sure what yours is, the Florida hurricane deductible explainer walks through it.

Example: say a hurricane destroys your house and the covered structure claim, after the deductible, is $600,000. Your insurer is liquidated before paying. FIGA's limit for that structure claim is $300,000 plus $200,000, so FIGA pays up to $500,000. The remaining $100,000 isn't lost on paper, but it becomes a claim against the failed insurer's estate. FIGA's FAQ says you can file for amounts over the cap, and the receiver sends a proof of claim form. How much of that you ever see depends on what the estate recovers.

Condo example: a 40-unit association whose master policy insures the units has a FIGA cap of 40 × $200,000 = $8,000,000 for a covered property claim, or the policy limit if that's lower. Whether a unit-owner (HO-6) policy counts as "homeowner's insurance" for the extra $200,000 isn't spelled out in the statute, so if you're a unit owner with a large claim, ask FIGA how it will treat yours. For how condo master and unit-owner coverage split, see our Florida condo insurance page.

Homeowners: structure + contents$500KHomeowners: other parts of the claim$300KMobile home, renters, tenant$300KCommercial non-residential$300K

Source: s. 631.57(1)(a), Florida Statutes (2026); FIGA FAQ, accessed Oct. 24, 2026

Show the numbers

Item	Maximum
Homeowners: structure + contents	$500K
Homeowners: other parts of the claim	$300K
Mobile home, renters, tenant	$300K
Commercial non-residential	$300K

What happens after a liquidation order

Only DFS can file a receivership case against a Florida insurer, and only in Leon County Circuit Court, per DFS. Once the court enters a liquidation order, the clock starts on several things at once. Some come from the statute. Others, like the exact cancellation date and claims deadline, are set by the court in each case, so I've shown what happened in the three most recent Florida property liquidations listed on DFS's site.

Source: s. 631.041; s. 631.59; s. 631.57; s. 631.67; s. 631.181; s. 631.68; DFS, Case No. 2023 CA 000320; DFS, Case No. 2022 CA 001378; DFS, Case No. 2022 CA 001688 (accessed Oct. 24, 2026).

The pattern in those three recent cases was the same. In Case No. 2023 CA 000320, the liquidation order was entered February 27, 2023, policies cancelled March 29, 2023, and the claims filing deadline was February 27, 2024. The two 2022 cases followed the same 30-day and one-year spacing. In two of those cases, DFS's pages say flood policies were not cancelled. NFIP flood is government insurance, which part II of Chapter 631 excludes (s. 631.52(16)).

The 30-day window is the part people misread. It doesn't mean you have 30 days of "free" coverage. It means FIGA covers losses that happen in that window as long as the policy hasn't already expired and you haven't replaced or cancelled it. Once you buy a new policy, the new insurer covers new losses. That's the right move anyway: get the replacement in place before the cancellation date so there's no gap.

For a claim you already had open, you don't start over. The receiver transfers claim files to FIGA, and FIGA adjusts them. FIGA's FAQ says you'll also get a Proof of Claim form from the receiver, and you need to complete it and return it by the filing deadline. Don't ignore it because FIGA is already handling your claim. And if you were being sued and the failed insurer was defending you, FIGA says to call it right away at (800) 988-1450 to find out whether it will provide the defense.

If you missed a deadline on a hurricane claim with your own insurer before it failed, that's a separate set of rules. The Florida hurricane claim deadline post covers the notice periods in your policy and state law.

Getting your unused premium back

If you paid for a year and the policy is cancelled partway through, the unused part is "unearned premium," and a claim for it is a covered claim (s. 631.54(4)). FIGA's example: pay for a year of coverage, have the policy cancelled three months later because of an insolvency, and FIGA refunds 75% of the payment.

Using that ratio: a $3,600 annual premium paid in full, cancelled after three months, means a refund of about $2,700. Two caveats from FIGA's FAQ. You're refunded only for premium the insolvent company actually collected, so if you were paying monthly, the refund is smaller. And timing depends on the receiver: FIGA pays after DFS processes the policy records and sends them over, which "may take several weeks or several months."

You don't have to file anything for the refund. FIGA says the receiver treats unearned premium claims as automatically filed. What you do need is a correct mailing address on file, since the refund comes by check. FIGA has name and address change forms on its FAQ page. My read: your new insurer will want its first payment before coverage starts, so plan for paying twice for a few weeks.

What FIGA doesn't pay

FIGA is a limited safety net, and some gaps are wide:

• Surplus lines policies. Surplus lines insurers aren't FIGA members (s. 631.52(13)). If your policy was written by a non-admitted carrier, there is no FIGA coverage if it fails. FIGA suggests checking OIR's Company Search for an authorization type of "Certificate of Authority."
• Flood insurance from the NFIP, and any other insurance "provided by or guaranteed by government" (s. 631.52(16)). Home warranties and title insurance are excluded too. Private flood written by an admitted insurer is in FIGA's assessable lines.
• Amounts over the caps, and anything beyond what the policy itself would have paid (s. 631.57(1)(a)4).
• Penalties and interest. "In no event shall the association be liable for any penalties or interest" (s. 631.57(1)(b)).
• Sinkhole extras. On a sinkhole loss, FIGA pays for appropriate testing and actual repairs, but not attorney's fees or public adjuster's fees, and it doesn't pay the policyholder directly (s. 631.54(4)(c)).
• Double recovery. If another policy also covers the loss, you don't have to exhaust it first, but FIGA reduces its payment by what you recover elsewhere (s. 631.61).
• Vendors' bills. Contractors and other service providers owed money by the failed insurer from before liquidation go to the receiver, not FIGA.

Whatever FIGA doesn't pay may still be a claim against the estate. Florida's priority statute puts policy loss claims in Class 2 and unearned premium claims in Class 3, ahead of general creditors. Claims filed after the court's deadline drop to Class 8 unless the court orders otherwise (s. 631.271). Another reason to meet the deadline.

The FIGA assessment on your policy

When FIGA needs more money than the estates can supply, the Florida Office of Insurance Regulation levies an assessment on member insurers, at FIGA's board's request, as a uniform percentage of Florida premium (s. 631.57(3)). Insurers can recoup it by charging policyholders the same percentage. That's the "FIGA assessment" or surcharge line you may have seen on your declarations page. The law requires it to be shown separately and not built into the rate (s. 631.64). Skip paying it and the insurer treats it like unpaid premium (s. 631.57(3)(g)).

The caps: regular assessments can't exceed 2% of an insurer's Florida premium for the account's lines in a calendar year. Emergency assessments, available only for insurers made insolvent by a hurricane's effects, can add up to 4% (s. 631.57(3)(e)). Assessments apply to admitted policies only, on a policy-year basis, and recent ones have hit only FIGA's "All Other" account (homeowners, fire and allied lines, personal liability, commercial multi-peril and similar lines), not auto.

0.0%0.5%1.0%1.5%

0.8%

0.9%

0.7%

1.3%

0.7%

1.0%

2009201220212022A2022B2023A (emergency)

Source: FIGA, Assessments page and 2025 Annual Report, accessed Oct. 24, 2026

Show the numbers

	Assessment rate
2009	0.8%
2012	0.9%
2021	0.7%
2022A	1.3%
2022B	0.7%
2023A (emergency)	1.0%

The jump in 2021 through 2023 tracks the failures. FIGA's 2025 annual report counts six insolvencies in 2022 alone, and seven liquidations across 2022 and 2023 that together produced 47,596 claims and $1.67 billion in incurred losses. To pay those claims quickly, FIGA issued $600 million in bonds in July 2023, backed by the 1% emergency assessment, which was set to run until the bonds were paid off.

They're being paid off early. FIGA's board voted on February 20, 2026 to end the emergency assessment two years ahead of schedule. Per FIGA, it's still charged on policies effective through September 30, 2026, and not on policies effective October 1, 2026 or later. FIGA estimates the change will save Florida homeowners and businesses up to $650 million through September 30, 2028. Its FAQ gives two reasons: collections came in above projections, and, in FIGA's words, it "has not incurred any new insurance carrier insolvencies since February 2023."

Source: FIGA, Assessments; FIGA FAQ; FIGA press release, Feb. 20, 2026 (accessed Oct. 24, 2026).

Because levies are additive and tied to the policy's effective date, a policy that started in the second half of 2022 carried 2.0% (the 0.70% and 1.3% levies together), per FIGA. What to check now: on your first renewal effective October 1, 2026 or later, the FIGA line should be gone. If it's still there, ask your agent or insurer why. It's a small amount on most policies, 1% of premium, but it's yours. For the bigger picture on what's driving Florida premiums, see the Florida homeowners insurance rates post.

• Assessments
• Estate distributions

$0M$200M$400M$600M

20212022202320242025

Source: FIGA 2025 Annual Report, funding sources table

Show the numbers

	Assessments	Estate distributions
2021	$168M	$70M
2022	$490M	$154M
2023	$332M	$127M
2024	$370M	$428M
2025	$331M	$121M

Over those five years, assessments supplied 63% of FIGA's funding and estate distributions 34%, per the annual report. That's the honest tradeoff of the system: when an insurer fails, everyone with an admitted Florida policy in the covered lines helps pay for it through the surcharge. As of September 30, 2026, FIGA's reports page showed 379 open claims across 16 estates with activity, and $37.5 million in open claims and reserves.

What I'd do if my insurer failed

Source: DFS Division of Rehabilitation and Liquidation; FIGA FAQ; s. 631.57; s. 631.181 (accessed Oct. 24, 2026).

On step 3: Citizens has its own eligibility and takeout rules, and the Florida Citizens insurance 2026 guide explains them. For the rest of the rules a Florida policy has to follow (notice of nonrenewal, claim handling times and so on), see the Florida homeowners insurance laws post.

One more check you can do today, before anything goes wrong. Look at your declarations page for a surplus lines notice. If your home is insured by a surplus lines carrier, FIGA won't be there if that carrier fails. That doesn't make the policy bad, but you should know it. If you'd like help reading your declarations page or comparing replacement coverage, our Florida home insurance page explains how we work, and flood is separate on our Florida flood insurance page.

FAQ

What is the Florida Insurance Guaranty Association?

FIGA is a nonprofit created by the Florida Legislature in 1970 under part II of Chapter 631, Florida Statutes. When a licensed property and casualty insurer is ordered into liquidation, FIGA pays its covered claims and refunds unearned premium, up to limits set by law.

How much does FIGA pay on a homeowners claim?

Up to $300,000 per covered claim, plus an additional $200,000 for the part of a homeowners claim that relates only to damage to the structure and contents. FIGA never pays more than the insolvent insurer owed under the policy.

Is the FIGA assessment still on Florida insurance policies?

Not on new ones. FIGA ended its 1% emergency assessment early: it applies to policies effective through September 30, 2026 and is not collected on policies effective October 1, 2026 or later.

What happens to my policy when my Florida insurer is liquidated?

The liquidation order sets a date when policies are cancelled; in recent Florida cases it was 30 days after the order. FIGA covers claims for losses in that window unless you replace the policy first, so you need new coverage before the cancellation date.

Does FIGA cover surplus lines policies?

No. Surplus lines insurers are not FIGA members, so their policies have no FIGA coverage if the insurer fails.

This is general information about Florida law. Your policy wording, the liquidation order in your insurer's case and Chapter 631, Florida Statutes control. Confirm your situation with FIGA, the Florida Department of Financial Services, a licensed agent or the Florida Office of Insurance Regulation, and for questions about a lawsuit or a disputed claim, talk to an attorney.

Sources

1. s. 631.041, Florida Statutes: automatic stay
2. s. 631.181, Florida Statutes: filing and proof of claim
3. s. 631.271, Florida Statutes: priority of claims
4. s. 631.51, Florida Statutes: purposes of part II
5. s. 631.52, Florida Statutes: scope (lines covered and excluded)
6. s. 631.54, Florida Statutes: definitions (covered claim, homeowner's insurance)
7. s. 631.55, Florida Statutes: creation of FIGA, accounts
8. s. 631.57, Florida Statutes: FIGA limits and assessments
9. s. 631.59, Florida Statutes: notice to FIGA and policyholders
10. s. 631.60, Florida Statutes: effect of paid claims
11. s. 631.61, Florida Statutes: nonduplication of recovery
12. s. 631.64, Florida Statutes: display of assessments
13. s. 631.67, Florida Statutes: stay of proceedings
14. s. 631.68, Florida Statutes: one-year limitation
15. FIGA: home page and contact information
16. FIGA: Frequently Asked Questions
17. FIGA: Assessments
18. FIGA: Reports (open claims as of Sept. 30, 2026)
19. FIGA: 2025 Annual Report
20. FIGA press release, Feb. 20, 2026: emergency assessment ends early
21. Florida DFS, Division of Rehabilitation and Liquidation
22. Florida DFS: Receivership FAQ
23. Florida DFS: Overview of liquidation
24. Florida DFS: How to file a claim (filing deadlines)
25. Florida DFS receivership page, Case No. 2023 CA 000320
26. Florida DFS receivership page, Case No. 2022 CA 001378
27. Florida DFS receivership page, Case No. 2022 CA 001688