What deductible should I have on my home insurance policy?

I'm in the process of buying home insurance, but I'm not sure what the deductible should be. Are there any rules or ideas on how high or low your deductible should be?

Answer
“The first step is to decide what amount you’re comfortable paying.
If you consistently carry a high balance in your bank account, a deductible of $5,000 isn’t out of the realm of possibility. A higher deductible will lower your monthly premium substantially, similar to car insurance deductibles.
If you don’t have a ton of liquid funds or a higher deductible will cause financial hardship, a lower deductible of $1,000 or $2,000 might be a better option. While this will make your monthly premium higher, it will also prevent you from shelling out extra money if you file a claim.
Deciding the right deductible really depends on how much you can afford to pay for your monthly premiums. If you’re looking for ways to save money on home insurance, try using the free Jerry app. Jerry compares rates from the top providers and delivers the best deals to your phone in minutes.
Another way to save money is to bundle your home and auto policies together. Try talking to your current provider, or shop with new companies to find what kind of bundling discounts they offer.”
avatar
Eric Schad
Answered on Aug 12, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
thumb-up

Did this answer help you?

Ask us a question by email and we will respond within a few days.
thumb-up

Have a different question?

You can meet us at our office and discuss the details of your question.

Read advice from car experts at Jerry

Easiest way to compare and buy car insurance

√
No long forms
√
No spam or unwanted phone calls
√
Quotes from top insurance companies
Find insurance savings — it's 100% free