Insurance Glossary

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Insurance Term - Hurricane Deductible

It is the amount to be paid out-of-pocket by the policyholder before hurricane insurance actually commences. Many insurers in hurricane-prone states in USA are selling homeowner insurance policies with percentage deductibles for storm damage instead of the traditional dollar deductibles used for claims such as fire and theft. Percentage deductibles vary from 1 percent of a home’s insured value to 15 percent, depending on many factors that differ by state and insurance company across USA.

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