Fraud Risks Florida Homeowners Face – and What to Watch For
Owning a home in Florida often means pride, stability, and long-term financial commitment. It also brings exposure to certain risks – some physical, some financial, and some involving fraud.
Fraud targeting homeowners has become increasingly common, and it does not always look dramatic or obvious at first. In many cases, it unfolds quietly, creating confusion, delays, and frustration before the full impact becomes clear.
Understanding the fraud risks Florida homeowners face can help you recognize problems sooner and make informed decisions about protection and coverage.
Fraud Isn’t Limited to One Type of Crime
When homeowners think about fraud, identity theft often comes to mind first – for good reason. But fraud affecting homeowners can take multiple forms, each with different consequences and insurance considerations. Some fraud affects your personal finances. Others target your property, your title, or your home improvement needs. Knowing the differences matters.
Below are three common fraud risks Florida homeowners face.
1. Identity Theft Fraud
Identity theft<<link to March’s ID theft blog>> occurs when someone uses your personal information without permission to commit fraud. This may involve unauthorized credit accounts, fraudulent purchases, or misuse of financial records. For homeowners, identity theft often creates challenges beyond the initial loss. Fraud can affect credit reports, delay financial transactions, and require extensive follow-up with creditors and credit bureaus.
5 Ways to Protect Yourself From Identity Theft (FTC, Jan. 25, 2024)
Watch additional videos about tax refund scams and mail theft & credit card fraud, both of which begin with identity theft, from the U.S. Postal Inspection Service.
While identity theft does not involve physical damage to your home, it can disrupt your household finances and consume significant time during recovery. Some homeowners choose to add identity theft protection to help manage the recovery process after fraud occurs, including assistance restoring credit and coordinating with creditors.
2. Property Title Fraud
Title fraud – sometimes called deed fraud – occurs when someone fraudulently transfers ownership of a property without the homeowner’s knowledge. This may involve forged documents, false filings, or misuse of public records. Because property records are public, title fraud can go undetected for long periods. Homeowners may discover it only after receiving unexpected notices, encountering issues during refinancing, or attempting to sell the property.
Title fraud does not typically involve a break-in or physical damage, but it can create serious legal and financial complications. Resolving ownership disputes often requires time, documentation, and legal assistance. Standard homeowners insurance policies generally do not cover losses related to title fraud, which is why understanding this risk is important for Florida homeowners.
Deed Theft Cases Explode (WPTV News, Jan. 12, 2026)
Watch the WPTV News video now, spotlighting a growing scam targeting seniors.
Property owners can sign up to receive alerts when a deed, mortgage, or other official record is recorded in their name – no matter where in Florida the property is located.
3. Contractor Fraud & Home Repair Scams
Contractor fraud often increases after storms or during periods of high demand for home repairs. Scammers may pose as legitimate contractors, request upfront payments, or perform incomplete or substandard work. In some cases, homeowners may unknowingly hire unlicensed or uninsured contractors. In others, fraudulent activity may involve inflated invoices, work never completed, or misrepresentation of damage.
‘A Billion-Dollar Problem’: Contractor Fraud Is Rampant in Florida (News4JAX, Nov. 11, 2024)
Homeowners insurance is designed to cover sudden, accidental losses – not poor workmanship, wear and tear, or incomplete repairs. Damage resulting from faulty repairs or ongoing maintenance issues is typically not covered. Being cautious when selecting contractors and understanding coverage limitations can help prevent disputes and financial loss.
Why Understanding Fraud Risks Matters
Fraud does not always announce itself clearly. It often creates administrative headaches, delays, and uncertainty long before a resolution is reached.
For Florida homeowners, the impact of fraud may include:
- Time spent resolving disputes or correcting records
- Delays in financial transactions or property decisions
- Stress caused by uncertainty or lack of clarity
- Expenses related to recovery or legal assistance
Understanding fraud risks does not eliminate exposure – but it helps set realistic expectations about what insurance does and does not cover, and where additional protection may be appropriate.
Staying Informed as a Florida Homeowner
Fraud risks Florida homeowners face continue to evolve. Identity theft, title fraud, and contractor scams affect homeowners differently, and each requires a different response.
The most effective approach combines awareness, careful decision-making, and insurance coverage designed to support you when unexpected issues arise.
If you have questions about fraud risks or available coverage options, speaking with your insurance agent can help you better understand how to protect your household and finances. If you’re not yet insured by Florida Peninsula Insurance Company, you can get a quote now.