Choosing Your Homeowner's Insurance Deductible
Choosing your deductible is an important step when choosing your homeowner's insurance coverage. Your deductible is what you pay first before your insurer pays out anything on your claim. (For example, you have a home in Murfreesboro and a tornado comes by and blows the roof off your house causing $25,000 worth of damage to repair. If you have a $500 deductible, your insurer would pay you $24,500 for the damage. If you have a $1000 deductible, they would pay you $24,000.)
Most people choose either a $500 or a $1000 deductible. And the higher the deductible, the cheaper your rate will be so most people quickly choose the $1000 to save money. But keep in mind that you have to pay that amount out first before the claim is taken care of. You want to be comfortable with the amount before you choose, so choose wisely. Whichever one you choose, make sure you put aside a cushion in that amount for any catastrophes that might occur to the home. Statistics show that you'll probably file one claim in a ten year period, so if you're looking to save a little money, a $1000 deductible is a good option. It also prevents you from filing a lot of smaller claims which affects your insurance history. If you're on a strict budget and would find it difficult to come up with a large amount up front, the $500 deducible option is the better choice. The difference in price is generally not that much.
Your deductible can always be changed if you want to as well.
Homeowner's insurance is a necessity for any size home. For one, if you are a paying a mortgage, the lender requires you to have it in place. But more importantly, your home is the biggest investment you'll probably ever purchase your entire life. With that being said, would you want to protect it with anything less than the best kind of insurance coverage????? Liberty Mutual is a preferred insurance company that offers the best kind of coverage in the industry. We offer 120% guaranteed expanded replacement cost on your dwelling as well as FULL replacement value on your contents. Many other coverage can and will be applied to your homeowner's policy but one thing will remain consistent...that if you were put in that place of real need after a major catastrophe, Liberty Mutual is going to be there to take care of your needs, protect your family, and rebuild your house.
Anthony J. Trepka
Liberty Mutual Insurance
5301 Virginia Way, Suite 200, Brentwood, TN 37027
Tel: 615.373.9555 ext. 389 Toll Free: 800-523-6906