Augusta
VIP Contributor
An insurance deductible is all about to the amount of money an insured is responsible to pay out of pocket when one makes a claim.
A relationship exists between premiums and deductibles. This is why we have the higher ones deductible, the lower one's premium and again when an insured pays lower deductible, the higher the premium will be.
So how does homeowners deductible works
if an insured doors suffered damage that will cost up to $5,000 in repairs.and the caused is covered by homeowners insurance policy then the insurer will help cover the repair costs. So if the insured homeowners insurance deductible is $2000, this means that insurer would cover $3000 in costs, and the insured would cover the remaining $2000 out of pocket.
When it comes to homeowners insurance deductibles, an insured have two options to choose from
which are the Dollar-amount deductible and the Percentage-based deductible
For the dollar-amount deductible, this is about the certain dollar amount that you must pay out of pocket in a claim situation.while the Percentage-based deductible is the fixed percentage of your home’s insured value
So you need to look at the two options and choose the one that you would readily make payment when the need arises.
A relationship exists between premiums and deductibles. This is why we have the higher ones deductible, the lower one's premium and again when an insured pays lower deductible, the higher the premium will be.
So how does homeowners deductible works
if an insured doors suffered damage that will cost up to $5,000 in repairs.and the caused is covered by homeowners insurance policy then the insurer will help cover the repair costs. So if the insured homeowners insurance deductible is $2000, this means that insurer would cover $3000 in costs, and the insured would cover the remaining $2000 out of pocket.
When it comes to homeowners insurance deductibles, an insured have two options to choose from
which are the Dollar-amount deductible and the Percentage-based deductible
For the dollar-amount deductible, this is about the certain dollar amount that you must pay out of pocket in a claim situation.while the Percentage-based deductible is the fixed percentage of your home’s insured value
So you need to look at the two options and choose the one that you would readily make payment when the need arises.
