Understand How Homeowner’s Insurance Deductibles Work
What is a deductible? An insurance deductible is the amount of money you will have to pay out of pocket if you make a claim. You will be responsible to pay it before your insurance company starts processing your claim for the roof replacement to be done by the general contractor. Some people can confuse it with an insurance premium, which is your payment to an insurance company for your coverage.
Home Insurance Vocabulary: Deductible.
A deductible is the amount of money included in an insurance contract that you are responsible for paying when seeking insurance coverage and before the insurance company will start processing your claim. It is the way in which risk is shared between you, the policyholder, and your insurer. In this case, you kind of reimburse yourself for your loss. The amount of money you paid is subtracted, or deducted, from your claim. Moreover, the larger the deductible, the lower the premium for an insurance policy.
Under claims on the website.
Deductible - is an amount of money, specified in an insurance policy, that the insured must pay before the insurance company will pay the claim. Deductibles are sometimes called “self insured retention “ because it is the part of the claim that the insured will pay. Deductibles serve to keep the number of small claims filed to a minimum. Additionally, insured can choose a higher deductible to receive a lower premium.