Deductibles · Core concept
Percentage deductible vs flat deductible.
Most homeowners now carry both kinds — a flat dollar deductible for everyday claims and a percentage deductible for wind, hail, or hurricanes. Here's how each one is calculated, and the side-by-side math at common dwelling limits.
| Dwelling (Coverage A) | Flat $2,500 | 1% | 2% | 5% |
|---|---|---|---|---|
| $250,000 | $2,500 | $2,500 | $5,000 | $12,500 |
| $400,000 | $2,500 | $4,000 | $8,000 | $20,000 |
| $600,000 | $2,500 | $6,000 | $12,000 | $30,000 |
| $900,000 | $2,500 | $9,000 | $18,000 | $45,000 |
When each one applies
Your flat all-other-perils (AOP) deductible applies to fire, theft, lightning, water-supply leaks, and most everyday losses. Your percentage deductible only triggers when the damage is caused by a named peril — usually wind, hail, hurricane, or a named tropical storm. The trigger language matters more than the percentage itself; read it carefully on your dec page.
Not sure which deductible you have?
Upload your dec page — we'll surface both, calculate the dollar amount, and flag any percentage deductibles that grew with your last renewal.
Frequently asked
What's the difference between a percentage and a flat deductible?
A flat deductible is a fixed dollar amount ($1,000, $2,500, $5,000) that applies regardless of policy size. A percentage deductible (1%, 2%, 5%) is calculated as a share of your dwelling coverage (Coverage A) and scales as your dwelling limit grows.
When does a percentage deductible apply instead of the flat one?
Almost always for a named peril: wind, hail, hurricane, or named storm. Your standard 'all other perils' (AOP) deductible stays flat. Read the deductibles block on your declarations page — you'll usually see both listed.
Is a 2% deductible better than a $5,000 deductible?
Depends on your dwelling limit. On a $200,000 home, 2% = $4,000 (better than $5,000 flat). On a $400,000 home, 2% = $8,000 (worse). The percentage gets more expensive every time your rebuild cost is recalculated upward.
Can I switch from a percentage to a flat deductible?
Sometimes — depends on state, carrier, and zip code risk. In Colorado Front Range, North Texas, and most coastal Florida, percentage wind/hail or hurricane deductibles are mandatory. Outside high-risk zones, flat deductibles are still available through many independent-agent carriers.
Keep reading
Wind & Hail Deductibles Explained
Percentage deductibles cost more than most homeowners realize.
Read moreDeductiblesHurricane Deductibles Explained
Named-storm deductibles in FL, TX, and the Gulf.
Read moreDeductiblesFlorida Named Storm Deductible
2%, 5%, 10% — what triggers it and what it costs in dollars.
Read more CalculatorHail Deductible Calculator
Calculate your out-of-pocket exposure per storm.
Try the calculatorGeneral information, not legal or financial advice. Deductible rules and availability vary by state, carrier, and underwriting year.