Dwelling Fire (DP‑3) in Florida Landlord Insurance Explained

The DP‑3 policy—often called Dwelling Fire—is Florida’s primary insurance form for rental homes, investment properties, and non‑owner‑occupied dwellings. It provides broad coverage for the structure and landlord‑specific protections such as Fair Rental Value.

DP‑3 is the most comprehensive of the Dwelling Fire forms (DP‑1, DP‑2, DP‑3) and is the standard choice for single‑family rentals, seasonal homes, and investment properties.

What a DP‑3 Policy Covers

Dwelling: The structure itself.
Other Structures: Detached garages, sheds, fences.
Landlord Personal Property: Appliances or items used to service the rental.
Fair Rental Value: Lost rent if the home becomes uninhabitable due to a covered loss.
Liability: Protection if a tenant or guest is injured and the landlord is legally responsible.
Medical Payments: Small coverage for minor injuries.

Common Covered Perils

DP‑3 policies typically cover the same major perils as HO‑3:

Fire and smoke
Wind and hurricane
Lightning
Water damage (sudden and accidental)
Theft and vandalism
Explosion
Falling objects
Weight of ice/snow

Key Differences Between DP‑3 and HO‑3

Occupancy: DP‑3 is for rentals; HO‑3 is for owner‑occupied homes.
Loss of Use vs. Fair Rental Value: HO‑3 pays ALE; DP‑3 pays lost rent.
Personal Property: DP‑3 covers only landlord items, not tenant belongings.
Liability: DP‑3 liability is landlord‑focused.

Florida‑Specific Underwriting Notes

Roof age is heavily scrutinized for rentals.
Tenant type (long‑term vs. short‑term) affects eligibility.
Vacancy rules apply—extended vacancy may reduce coverage.
Wind/hurricane deductibles must be clearly listed.
Many carriers require proof of updates (roof, plumbing, electrical).

Why DP‑3 Matters in Florida

Florida’s rental market is large, and landlords need a policy designed for non‑owner‑occupied risks. DP‑3 provides broad protection for the structure, landlord liability, and lost rental income.

It is the correct form for: