I just read that many insurance policies in Florida carry a 2% deductible. If that is true that is pretty tough. It means $4,000 out of pocket on $200,000 worth of damage or $10,000 on $500,000 worth of damage. That's is quite a bit of money and will be very hard for people to pay in some cases.
Other states have deductibles that are dollar amounts like $400 or $500. California actually 10% deductibles on some policies because of the possiblities of earthquakes.
Insurance Deductibles of 2%
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In Florida, some insurance companies like Allstate and State Farm allowed a buy back on the 2% deductibles. Of course, that would raise their premiums. Same here in MS but my wind and hail ded. is $1,000. All other ded. is 500.
In most severe cases, FEMA steps in to help pay the rest of the costs.
In most severe cases, FEMA steps in to help pay the rest of the costs.
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Anonymous
Lindaloo wrote:In Florida, some insurance companies like Allstate and State Farm allowed a buy back on the 2% deductibles. Of course, that would raise their premiums. Same here in MS but my wind and hail ded. is $1,000. All other ded. is 500.
In most severe cases, FEMA steps in to help pay the rest of the costs.
FEMA provides flood insurance in some states, but they won't pay these people's deductible bills (if that's what you meant).
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Yes they will help defray some of the deductibles. They did that here after georges. Not all of it but some.
Most banks will give you an interest free loan to help pay for your deductible.
I know for a fact that FEMA will also help rebuild businesses and the banks will also give them an automatic interest free loan.
ALL people in flood zones are required to have National Flood Insurance or they can't buy the home. Inland homes are almost never flooded. FEMA targets them and helps them rebuild.
Most banks will give you an interest free loan to help pay for your deductible.
I know for a fact that FEMA will also help rebuild businesses and the banks will also give them an automatic interest free loan.
ALL people in flood zones are required to have National Flood Insurance or they can't buy the home. Inland homes are almost never flooded. FEMA targets them and helps them rebuild.
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Anonymous
Lindaloo wrote:Yes they will help defray some of the deductibles. They did that here after georges. Not all of it but some.
Most banks will give you an interest free loan to help pay for your deductible.
I know for a fact that FEMA will also help rebuild businesses and the banks will also give them an automatic interest free loan.
Well that is nice of the banks not to charge interest.
I agree it is good to be able to spread it out over time. But whether they pay it now or spread the cost over several years with the loan the peeps with damages are still having to pay 2% of the damages from Charley in the long run, instead of a small, easier $500 deductible. Plus, what will happen now -- will the insurance companies try and raise the deductible to 3% or 5%??
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I believe that is up to the Insurance Commissioners to allow the deductibles to be raised. Each year though, the major insurance companies try to increase premiums up to 35%. It is up to your state commissioner to allow this or not. They tried that last year in this state but the commissioner would not budge. They then threatened to pull out of the state. He buckled and allowed them to raise premiums 15%. Living on the coasts expect to pay outrageous premiums.
A friend of mine who lives just north of interstate 10 pays only half of what I have to pay. I am only 15 minutes from the interstate. I guess they do not think hurricane force winds blow north of the interstate!!
A friend of mine who lives just north of interstate 10 pays only half of what I have to pay. I am only 15 minutes from the interstate. I guess they do not think hurricane force winds blow north of the interstate!!
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Anonymous
Lindaloo wrote:I believe that is up to the Insurance Commissioners to allow the deductibles to be raised. Each year though, the major insurance companies try to increase premiums up to 35%. It is up to your state commissioner to allow this or not. They tried that last year in this state but the commissioner would not budge. They then threatened to pull out of the state. He buckled and allowed them to raise premiums 15%. Living on the coasts expect to pay outrageous premiums.
A friend of mine who lives just north of interstate 10 pays only half of what I have to pay. I am only 15 minutes from the interstate. I guess they do not think hurricane force winds blow north of the interstate!!
Wow! It makes you wonder what insurance costs on NC's outer banks
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Lindaloo wrote:I believe that is up to the Insurance Commissioners to allow the deductibles to be raised. Each year though, the major insurance companies try to increase premiums up to 35%. It is up to your state commissioner to allow this or not. They tried that last year in this state but the commissioner would not budge. They then threatened to pull out of the state. He buckled and allowed them to raise premiums 15%. Living on the coasts expect to pay outrageous premiums.
A friend of mine who lives just north of interstate 10 pays only half of what I have to pay. I am only 15 minutes from the interstate. I guess they do not think hurricane force winds blow north of the interstate!!
Which is why I live two miles north of I-10.
<p>
It's insane, had Diamondhead been densely populated at the
time Camille hit, there wouldn't be much left standing. Insurance companies, despite being "good hands" or "like a good neighbor"
don't really care about anything but money.
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I agree with you on the money issue. They always blame everybody else for their failures but their own. Allstate lost alot of money on Sept. 11th and it was not the terrorist attack either. But, they blamed it on claims having to be paid out. I worked for those people for 12 years and know how they operate. To regain their stock market loss they heaped it upon the backs of the homeowners.
So, I guess hurricane force winds dont go two miles north of 10 either???
I was in Diamondhead not too long ago. We stopped at the Burger King right off the interstate. Guess what? they were out of hamburgers!! ROFL!! We went to the Waffle House instead.
So, I guess hurricane force winds dont go two miles north of 10 either???
I was in Diamondhead not too long ago. We stopped at the Burger King right off the interstate. Guess what? they were out of hamburgers!! ROFL!! We went to the Waffle House instead.
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