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more common elsewhere. Rather than being set at a at dollar amount, the deduc ble is stated as a percentage, typically 1 or 2 percent of your “dwelling coverage,” or the amount your policy states you’d need to completely rebuild your house (not including replacing the contents). So if your dwelling coverage is $300,000 and your deduc ble is 1 percent, you’d pay the rst $3,000 of any repair. Percentage deduc bles o en require one to pay more out-ofpocket expenses than at dollar-amount deduc bles, but they also
typically come with a lower premium.
With these new op ons, it can be hard to know which type of deduc ble is best for you.
In general, insurance is meant to protect you from big losses, not cover the li le things you can a ord to x yourself, which is why some people choose a higher deduc ble. If you decide to go that route, keep in mind you’ll retain more of the claim cost if something substan al happens to your house. In other words, if your deduc ble is $3,000, you’ll need to come up with that amount if you experience a signi cant loss.