As the insurance market is rapidly changing, we like to share with our clients some changes that are happening. One change we are noticing is that many of our carrier partners are adding policy deductibles to some home and commercial property policies, and are increasing the savings when a property owner increases their deductibles…
What is a property deductible?
A homeowners insurance or commercial property insurance deductible is the amount of money the property owner must pay out of pocket before the insurance coverage kicks in for a covered loss.
Here are two important things we are seeing with new deductible options:
1. Review Savings Options — Insurance companies are offering more savings for higher deductibles. We suggest that all property owners review the $1000, $2500, and $5000 options. Since each property is different and each company offers different amounts of savings, check in with us for all of the options available.
2. Beware Named Storms Deductibles — Typically a “named storm” deductible is applicable to a loss caused by the peril of a windstorm or hail during the period when a “named storm” has been declared by a designated weather center, such as the National Hurricane Center. Named Storm Deductibles are typically higher than your general property deductibles.
So, back to what is a property deductible?
These days, it truly depends! Interested in reviewing your deductible options?? Just let us know. We are here to help!