01/05/2024
‼️ Quick insurance tip for you today‼️
Your homeowners insurance policy will have a deductible on it. Standard these days is anywhere between $1k and $2500 depending on what you want. If you have less than $1000 raise that ASAP. No sense in filing a claim under $1k. Anyways, many of you likely have a percentage deductible and may not know it. There is nothing wrong with that, so long as you understand what it means. Many agents will sell this to you in a way that just isn't true. Let's say you have a 1% deductible. They'll say if you have a claim, our company will pay 99% and you'll pay 1% of the claim. Simply not true. The percent doesn't refer to the amount you pay as a percentage of any given claim, it's actually a percentage basis of the amount your home is insured for. So if your home is insured for $700,000, your deductible would actually be $7k. Again, nothing wrong with a high deductible, and actually can be encouraged sometimes depending on your situation. But if you have a $10k claim and go file that with your carrier, be ready to cut them a $7k check. The more you know.
