What Is a DP‑3 Policy? (Florida Landlord Insurance Explained)

A DP‑3 policy is the most comprehensive landlord insurance option available in Florida. It protects rental properties against a wide range of risks, including fire, wind, water damage, and liability. Unlike a homeowners policy, a DP‑3 is specifically designed for homes that are tenant‑occupied.

Because Florida rental properties face unique risks — hurricanes, water damage, and tenant‑related losses — the DP‑3 is the preferred choice for most landlords.

What a DP‑3 Policy Covers in Florida

DP‑3 policies typically include:

• Dwelling Coverage — Protects the structure from open‑peril losses
• Other Structures — Sheds, fences, detached garages
• Landlord Personal Property — Appliances or items you provide for tenants
• Loss of Rents — Pays rental income if the home becomes uninhabitable
• Liability Coverage — Protects you if a tenant or guest is injured

DP‑3 policies are considered the “HO‑3 equivalent” for rental homes.

Why DP‑3 Policies Matter in Florida

Florida landlords face risks such as:

• Hurricane wind damage
• Tenant‑caused water damage
• Roof leaks
• Electrical issues
• Vandalism or theft

Standard homeowners policies do not cover rental properties, which makes a DP‑3 essential for legal and financial protection.

DP‑3 vs. HO‑3: What’s the Difference?

The HO‑3 is for owner‑occupied homes. The DP‑3 is for rentals.

• HO‑3 — Covers your primary residence
• DP‑3 — Covers tenant‑occupied homes

Using the wrong policy type can result in denied claims.

What a DP‑3 Policy Does NOT Cover

DP‑3 policies typically exclude:

• Tenant belongings (they need renters insurance)
• Flooding (requires separate flood insurance)
• Wear and tear
• Maintenance issues

Optional endorsements may be available depending on the insurer.

How Much Does a DP‑3 Policy Cost in Florida?

Typical cost:

$1,800 – $4,500 per year

Pricing depends on location, home age, roof type, and tenant occupancy.

Who Should Consider a DP‑3 Policy?

A DP‑3 is ideal for:

• Single‑family rental homes
• Investment properties
• Seasonal rentals
• Homes not occupied by the owner

Need Help Choosing the Right Landlord Policy?

If you’re unsure whether your rental home needs a DP‑3 — or want to compare Florida landlord insurance options — I can help you review your coverage needs and find the best fit.

Get a Florida Landlord Insurance Quote