A basic guide to home insurance deductible averages

by Danielle Pierro 01/01/2023

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When shopping for homeowners insurance, it's helpful to know the general home insurance deductible average. In insurance, a deductible is the amount of money you're responsible for paying before you can use your policy's coverage.

Understanding the basics of how deductibles work from one insurance company to the next will help you in choosing a policy and provider. Here are the basics to know:

What is the standard deductible for homeowners insurance?

Homeowners insurance deductibles are either a flat dollar amount or a percentage. The average dollar amount generally ranges from $500 to $2000, and the percentages between 1% and 5%.

You can pay higher than the minimum deductible if you prefer. This can help lower your rates and regular expenses.

What are home insurance deductions?

Your homeowners insurance deductible determines how much you need to pay out of pocket. This amount is adjusted based on a claim filed versus the amount you pay in premiums.

If you have an emergency fund, you might prefer a higher deductible amount with lower premiums. While you'll need to pay more for a claim, your savings will ease the financial burden.

How your homeowners insurance deductible affects your rates

The average price for homeowners insurance can fluctuate. Choosing a higher deductible can help reduce your premiums by up to 6%. 

However, the maximum you save by choosing the deductible is different for each insurance company. Make sure to go over all the details with your chosen provider to get the best possible coverage for your needs.



About the Author
Author

Danielle Pierro

I don’t just sell Real Estate, I sell PARADISE! 

As a Top Producer in Flagler County (Florida’s “Hidden Gem”), I'm passionate about Real Estate, and I LOVE what I do! I'm dedicated and committed to helping people find their dream home in Paradise, and equally as dedicated in helping to sell their home as quickly and stress free as possible. I consistently provide the highest level of service and an exceptional customer experience throughout the entire process.

I have achieved many prestigious awards resulting from hard work and dedication to my profession…..proving hard work really does pay off! Please call me, Danielle Pierro, at 914-760-0364 and let me help you with all of your Real Estate needs!

2019/2020 Board of Directors of the Flagler County Association of Realtors

Founder and VP of Flagler Business Professionals LLC – Networking Group