For home owners in California, there can be many options for local homeowner’s insurance companies in the area. The type of coverage you need and the amount of coverage you need can vary depending on your personal situation, the condition of your home, and who is living in the home that is insured. One variable many California residents have questions about is what are the options for homeowner’s insurance deductibles? Here is a quick summary of your options if you own a house:
Common Homeowner’s Insurance Deductible Options:
Flat Deductible – This is referring to a fixed amount of money you will pay for your deductible, for example $3,000 for your deductible as a flat rate, not a percentage. This option can make the billing simpler to understand, and may be the easier for some homeowners. The exact coverage and availability of this option will vary from one insurance company to another.
Percent Deductible – This refers to insurance coverage at a percentage of the home’s dwelling coverage. For example, if your insured home is $200,000 at a 1% deductible in dwelling coverage is $2,000. This may be a good option depending on the value of your home and the insurance coverage you need. Remember, if your home’s dwelling coverage increases, the deductible can increase.
Split Deductible – This means there is a specific deductible that applies to some cases of loss that occur and a different deductible that applies to other cases of loss. This can actually have different flat rate deductibles or different percent deductibles or a combination.
Since the cost of homeowner’s insurance in California can be high, it makes sense to research multiple local insurance providers near you and learn more about all of the options you have for home insurance coverage. With varying rates and different types of coverage and deductibles, there is a lot of information to process. If you would prefer to discuss your options with one of our homeowner’s insurance experts, please contact us at 877-945-7233.