Deductible

A deductible is your share of a covered loss. When you file a claim, you pay the deductible amount first, and your insurance pays the rest (up to your policy limits).

Example: If you have a $1,000 deductible and file a claim for $5,000 in damage, you pay $1,000 and your insurance pays $4,000.

Types of Deductibles:

• Flat dollar amount: A fixed amount (e.g., $500, $1,000, $2,500)
• Percentage deductible: A percentage of your coverage limit (common for wind/hail or earthquake coverage)

  Choosing Your Deductible:

• Higher deductible = lower premium
• Lower deductible = higher premium
• Choose an amount you could comfortably pay in an emergency

  Special Deductibles:

Some policies have separate, higher deductibles for specific perils like hurricanes, earthquakes, or wind/hail damage. Always check your policy for these provisions.