When a hurricane damages your home, one of the first insurance questions is usually, “How much will we have to pay ourselves?” Your hurricane deductible is part of that answer, and a percentage on a policy page can be hard to picture in dollars.
You may remember choosing a deductible when you bought your coverage. If it’s been a while, looking at it again can help you plan for an expense you hope you’ll never have.
What is a hurricane deductible?
A hurricane deductible is the portion of a covered hurricane loss you’re responsible for. Your insurer subtracts it when calculating the claim payment, subject to the rest of your policy’s terms.
It may be different from the deductible that applies to other covered damage, such as a kitchen fire. That’s why the deductible you remember from a previous claim may not be the amount that applies after a hurricane.
How is a hurricane deductible calculated in Florida?
To calculate a percentage hurricane deductible, multiply your dwelling coverage limit by the deductible percentage. Dwelling coverage is the amount of insurance on the house itself; the calculation doesn’t use your repair bill or your home’s selling price.
What does a 2% hurricane deductible mean in dollars?
A 2% hurricane deductible on a home with $300,000 in dwelling coverage is $6,000. If a hurricane causes $20,000 in covered damage, subtracting that deductible leaves $14,000 before any other policy provisions affect the payment.
| Calculation | Amount |
|---|---|
| Dwelling coverage limit | $300,000 |
| Hurricane deductible: $300,000 × 2% | $6,000 |
| Covered damage in this example | $20,000 |
| Amount remaining after the deductible | $14,000 |
This simplified example shows the deductible calculation only. The actual payment also depends on your coverage, limits, and how the policy values the damage. The deductible isn’t necessarily your only out-of-pocket expense.
When does a hurricane deductible apply in Florida?
Florida’s hurricane coverage period begins when the National Hurricane Center issues a hurricane warning for any part of Florida. It ends 72 hours after the last hurricane watch or warning for any part of the state is lifted. The deductible applies to covered damage caused by that hurricane, not every unrelated loss during that period. Florida’s hurricane coverage definition.
A storm doesn’t have to make landfall in your town for your hurricane deductible to apply. Your insurer considers the cause and timing of the damage along with your policy.
Do I pay a hurricane deductible for every hurricane?
You don’t automatically pay the full hurricane deductible again for a second hurricane in the same year. For Florida personal residential policies, the hurricane deductible works on a calendar-year basis when coverage stays with the same insurer or insurer group.
For a subsequent hurricane, the insurer may apply whichever is greater: your remaining hurricane deductible or your deductible for other covered losses. Even after you’ve met the hurricane deductible, that other deductible may still apply. Florida’s deductible rules.
Keep photos, repair receipts, and claim records from each storm, including damage below your deductible. Report hurricane losses promptly and ask how they’re being recorded toward the annual amount. Having that record can help if another storm follows.
Does a hurricane deductible cover flood damage or storm surge?
No. A hurricane deductible doesn’t extend your homeowners coverage to flooding or storm surge. Standard homeowners insurance generally excludes that damage. Flood coverage is separate, with its own terms and deductibles. Meeting your hurricane deductible doesn’t make flood damage covered under your homeowners policy. Florida’s flood insurance guidance.
If you’re unsure whether you have flood insurance, your agent can check with you. That conversation is best had before a storm threatens, since new flood coverage may have a waiting period.
Where can I find my hurricane deductible?
Your hurricane deductible appears on your declarations page, the policy summary showing your coverage amounts. Look for the dollar amount as well as any percentage listed. If you’re having trouble finding it, your agent can point it out and explain how it applies to your home.
Seeing the amount in dollars can help you consider what a hurricane claim would mean for your household budget.
If your dwelling coverage has increased, a percentage deductible may have increased in dollars too. Our article on rising home repair costs explains how rebuilding costs can affect your coverage.
Looking for homeowners coverage? Request a quote with American Traditions Insurance or find an agent near you to talk through your coverage and hurricane deductible options. If you’re already insured with us, your agent can help you understand the deductible on your current policy.
About American Traditions Insurance
American Traditions Insurance brings more than two decades of property insurance experience and serves homeowners with over 140,000 policies. We offer specialized coverage for site-built homes, manufactured homes, and condominiums through a network of independent agents, with personal service and online tools to help homeowners manage their coverage. Learn more about American Traditions Insurance.
