What You Should Know About Waivers of Deductible Clauses
Chances are, you have already determined your deductible on your home and auto insurance policies. But did you know about the waiver of deductible clause? A waiver of deductible is a clause in your insurance policy that lists situations where you will not have to pay the deductible in the event of a claim. The “large loss” waive of deductible is based on the dollar value of the claim. If the claim exceeds a certain value, the deductible could be waived based on your policy wording and conditions.
Typically, a waiver of deductible would come into play when there is a major loss, such as a home insurance claim where the home has to be rebuilt or there has been significant fire damage. If you have an insurance policy that has a waiver of deductible clause in the wording, you may feel better about taking a higher deductible to save money on your insurance.
Knowing if and when your home insurance policy will waive the deductible can be very helpful in deciding when to increase your deductible to save money. Insurance companies use this as a strategic advantage and value-add to offer clients.
Do you have questions regarding your homeowners insurance? Talk to the team at Premier Risk Insurance to get started! We serve Long Island and neighboring cities in New York.
