WHY TWO DEDUCTIBLES CAN PRODUCE VERY DIFFERENT NUMBERS

A declarations page may show a $2,500 all-other-perils deductible and a 2 percent hurricane deductible. The percentage is not normally calculated from the repair estimate. It is generally tied to the insured dwelling limit shown in the policy. On a dwelling insured for $500,000, a 2 percent figure equals $10,000. That difference is why homeowners need to review the policy before assuming a storm claim will fund a project.

Policy forms vary. Some policies may contain separate windstorm, named-storm, roof or special deductibles and limitations. Do not rely on a neighbor's policy or a contractor's guess. Ask the insurer or licensed agent to identify the deductible and explain why it applies.

WHEN FLORIDA TREATS A LOSS AS A HURRICANE LOSS

Florida Statute 627.4025 defines a hurricane as a storm system declared to be a hurricane by the National Hurricane Center. For deductible purposes, the statutory duration begins when a hurricane warning is issued for any part of Florida and ends 72 hours after the last hurricane watch or warning for any part of the state is terminated.

The applicable cause and timing still require claim investigation. A named tropical storm is not automatically treated as a hurricane under that definition, and damage discovered after a storm does not automatically prove when or how it occurred. Report suspected damage promptly and preserve the timeline.

THE CALENDAR-YEAR HURRICANE DEDUCTIBLE

Florida personal residential policies with hurricane coverage generally use an annual hurricane deductible structure. Once a policyholder incurs covered hurricane losses during the calendar year, the policy and statute govern how additional hurricane losses in that same year apply toward the annual amount. Renewal, policy changes and carrier documentation can affect the accounting.

Keep every hurricane claim letter, estimate and deductible statement from that calendar year. If another hurricane affects the property, tell the insurer about the earlier claim and ask for a written calculation of the remaining deductible. Do not assume the full percentage starts over or that nothing remains.

This accounting can be confusing when the first storm produces damage below the deductible, when repairs remain incomplete, or when the homeowner changes insurers during the year. Save the written determination even if no payment is issued. A later insurer may need proof of the earlier covered amount, and the policyholder should not be trying to reconstruct the file months after another storm.

WHAT ALL-OTHER-PERILS USUALLY MEANS

All-other-perils is a broad label for covered causes of loss that are not assigned to another special deductible. Depending on the policy, this can include events such as fire, theft, hail or certain non-hurricane wind losses. Coverage and exclusions remain separate questions; having an AOP deductible does not mean every non-hurricane event is covered.

An AOP deductible is often a flat dollar amount and may apply per occurrence. Some Florida policies include other deductible structures, so the actual contract controls. Flood is generally not covered by a standard homeowners policy and typically requires separate coverage.

HOW THE DEDUCTIBLE AFFECTS A ROOF PROJECT

The deductible is the policyholder's share of a covered loss. Florida law prohibits a roofing contractor from paying, waiving or rebating it. A contractor who inflates a proposal to conceal the deductible or offers a gift tied to an insurance claim is not doing the homeowner a favor. That is a serious red flag.

Before signing a contract related to insurance work, compare the roof replacement price, the insurer's covered estimate, the deductible, non-covered upgrades and any depreciation or payment schedule. These numbers are related but not interchangeable.

QUESTIONS TO ASK BEFORE WORK BEGINS

• Which deductible applies to this loss, and where is it shown in my policy?
• What dwelling coverage amount was used to calculate a percentage deductible?
• Has any prior hurricane loss this calendar year been credited?
• Are there separate windstorm, named-storm or roof deductibles?
• Does the estimate include code-related work, and is law-and-ordinance coverage involved?
• Is any depreciation withheld, and what proof is required for additional payment?
• Which upgrades or elective items are outside the covered scope?

A roof inspection can document physical conditions. It cannot determine which deductible applies. That answer belongs with the insurer and policy.

Get the deductible answer in writing before financing or scheduling the project. A verbal figure repeated by a salesperson is not enough. The homeowner needs to know the contractor balance, expected insurer payments, personal deductible and any elective upgrade cost so the project does not create a surprise after tear-off.

A SIMPLE DEDUCTIBLE EXAMPLE

Assume a policy shows $400,000 in Coverage A, a 2 percent hurricane deductible and a $2,500 AOP deductible. The listed hurricane deductible would equal $8,000, while the AOP deductible would be $2,500. If a covered roof loss resulted from a qualifying hurricane, the hurricane amount may apply. If the covered loss resulted from another peril assigned to AOP, the flat amount may apply.

This example explains the math only. It does not determine coverage, claim value or which deductible an insurer should use. Read Understanding Florida Roof Claims for the broader documentation and payment process.