What are the significant differences between your AOP and hurricane deductible?

What Are The Key Differences Between Your AOP And Hurricane Deductible?

many individuals who move to FL from other states are infrequently blown away with the two deductible ideas we have got here in FL in regard to our home-owner insurance. For those among us who have lived here for some time we have kind of gotten used to these changes since our system slowly modified after hurricane Andrew in 1992.

firstly what is an all the other premium ( AOP ) deductible? This deductible is for non-hurricane related claims like fire, burglary, vandalism, random water discharge and acts of the Lord God like lightning, tornados, hail to cite a couple. If a windstorm that's not a named storm causes damage, this is mostly subject to your AOP deductible. These deductibles are usually 500, one thousand or 2500 with most carriers.

Your hurricane deductible is much different and only is applicable to named storms classified as hurricanes. With most carriers, if your house is valued over $100,000 then the standard hurricane deductible is two percent of your coverage'A' amount on your policy. Coverage'A' is your structure or dwelling coverage. Some people get confused thinking they need to only pay 2 percent of the damage which is an enormous difference from how it is actually paid.

As an example lets say your house is costed at 250,000. If you've got a 2% hurricane deductible then you will be accountable for the first 5000 of damage to you home. Anything over that deductible the insurer will pay up to your policy limits to fix your house.

Some carriers will set your deductible at 2% but let you purchase down to as low as a five hundred deductible. In deciding this you just have to weigh the benefits and disadvantages of your exposure vs. The add'l value of lowering your deductible. If you are nearer to the coast then this is going to be something to strongly consider. However , remember the closer you are to the coast ; less carriers will offer the ability to buy down your deductible. Some even make it imperative for you to go with a five percent or perhaps ten percent hurricane deductible to lower their exposure. I am hoping this information was beneficial in explaining your deductibles!

Looking for a lower Hurricane Deductibble call 352-243-9000. Southern Insurance is an independent insurance provider which means they have the best rates. Great rates on health insurance are available now. What are the key differences between your AOP and hurricane deductible?