Floridians are relocating to the center of the state to try to avoid hurricanes — and high insurance premiums
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- Ocala has the lowest risk of coastal flooding in Florida, analytics platform Climate Alpha found.
- One real-estate agent has seen an influx of people from South Florida seeking "peace and security."
- It's an emerging bright spot as the state undergoes an "insurance crisis."
Some Floridians are leaving their coastal homes due to the risk of extreme weather events and increasing insurance premiums —but they aren't going too far.
They're descending on Ocala, a 64,000-person inland town located centrally in the state and an hour drive north of Orlando, the Wall Street Journal reports. Dubbed the "Horse Capital of the World" for its many equestrian facilities, the small town is now a hotspot for those who want to stay in the Sunshine State but are seeking higher elevation.
"By the time a hurricane reaches us, they lose steam," Ocala real-estate agent Courtney Moody told Insider. "It's mostly a rainstorm."
Moody said that the town's reputation for its elevation — nearly 100 feet above sea level — has made Ocala an attractive destination for homebuyers.
"They like the sense of peace and security," she said.
For some, it's too late. Moody said she's shown houses to hurricane-stricken South Floridians, who just the week before "had water up to their window sills inside of their home."
For others, the move is pre-emptive. Recently, Moody worked with a couple from Miami that was looking to put down roots for a family and were attracted to the "stability" of Ocala.
The couple bought a six-bedroom home for $950,000 with plans for a growing family. They were happy to move far away from not only the risk of extreme weather events, but also the rising insurance premiums tied to coastal communities.
"Florida's going through an insurance crisis," she told Insider.
Relief 100 feet above sea level
Ocala came out on top in a study by climate-software company Climate Alpha for the Journal. It evaluated Florida towns based on federal government weather forecasting models, the quality of local infrastructure, the number of hospital beds nearby, and other factors.
Clinching the spot as Florida's city with the "lowest risk of coastal flooding," according to Climate Alpha, Ocala also passed with flying colors as a town with a low risk of flooding compared to other inland towns.
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Of course, Ocala is not completely immune to hurricanes, as the Journal noted 2017's Hurricane Irma caused some power outages and flooding. However, the Ocala Police Department told the outlet that there was no significant damage during Hurricane Idalia this past August.
Floridians navigate rising insurance premiums
Jo Anne and Ed Lewis used to get "hunched up" shoulders when hurricane season arrived in their town of Bonita Springs on the west coast of Florida, the Journal reported.
When seeking cover from a hurricane this past August, they happened upon idyllic Ocala and decided to make a new inland home. Significant for the couple, their combined deductible premium — one for home damage and another for hurricane damage — now totals $6,000 compared to the $20,000 for their home in Bonita Springs.
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The average insurance premiums for Florida residents has tripled in the past five years, according to Insurance Information Institute data collected by the Journal.
Major insurers have cut coverage in the state, as the increasing volatility of extreme weather causes many to re-evaluate their portfolios. Farmers Group stopped offering new home insurance policies altogether in Florida earlier this year.
As a result, Florida residents are struggling. Danny Collins, who lives in Hobe Sound, Florida, just north of West Palm Beach, previously told Insider his mortgage jumped $1,000 under new insurance premiums. Bob Stephens, who lives in the Florida Keys, previously shared with Insider that he has not been able to find insurance that fully covers his $3 million home in Marathon.
Ocala is located in one of Florida's cheapest counties for insurance, Marion, with average premiums hovering around $1,800 compared to $5,600 in Miami-Dade County and $7,500 in counties closer to the Florida Keys, according to the Journal.
For Florida residents eyeing Ocala, that's a huge relief, said Moody.
"You're not getting a coast," she said, "but you are getting rid of high insurance costs, high housing costs, and your home potentially washing away."
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