How should I think about deductibles?

Deductibles are risk rentention arrangements between insurance companies and their customers.  Deductibles are only used for property insurance claims such as damage to your home or auto.  If you submit a claim, the insurance company pays after your deductible is met.

In general, deductibles range from $0 to $1,000.  The higher the deductible, the lower the premiums you pay.  However, this also means that you’re retaining more risk, so tradeoffs must be made.  At Downing-Childs, we want to design the coverage that’s right for you, but most of our clients believe that the best trade-off is with deductibles betweed $250-$500.