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Hurricane and Named Storm Deductibles

Checked against official sources · Last reviewed October 13, 2026

How a percentage deductible is figured

A deductible is the part of a covered loss you pay before the insurance company pays. Your regular homeowners deductible is often a flat dollar amount, such as $500 or $1,000, though it can also be a small percentage. A hurricane deductible is different: the National Association of Insurance Commissioners (NAIC) says it is usually "a percentage of the home's value," which leaves you "responsible for a larger portion of a loss compared to their normal homeowners deductible."

The math:

Deductible in dollars = your dwelling coverage limit (Coverage A) x the deductible percentage

The percentage comes from your policy, and the dollar limit is on your declarations page. The size of the damage doesn't change the deductible. Then:

Insurance pays = covered damage - deductible (never less than zero, and subject to your policy limits)

Florida law spells this out for Florida policies: hurricane deductible options are stated as percentages "of the policy dwelling limits," and insurers must "compute and prominently display the actual dollar value of the hurricane deductible on the declarations page." [1][2][3]

Worked examples

Same home, insured for $300,000 of dwelling coverage, with $20,000 of covered roof and interior damage from a hurricane:

NAIC uses the same kind of example: a 5% named storm deductible on a $300,000 house means "the policyholder would be responsible for paying $15,000 out of pocket."

The Texas Department of Insurance gives a smaller-loss example for a home insured for $150,000: with a $500 deductible and $6,500 of hail damage to the roof, the policy pays $6,000. With a 5% deductible ($7,500), "Policy B would not pay anything because the amount of repairs is less than the deductible."

TDI's advice for any percentage deductible: "make sure you know how that translates to a dollar amount." Our hurricane deductible calculator compares 1%, 2%, 5% and 10% for your dwelling limit. [1][4]

Hurricane vs. named storm vs. wind/hail deductibles

The name of the deductible decides which storms trigger it. NAIC's research center describes three kinds:

- Hurricane deductible: "typically applies to damage solely from a hurricane as categorized by the National Weather Service or U.S. National Hurricane Center." - Named storm deductible: also applies to tropical storms and other systems that the National Weather Service or National Hurricane Center has named or numbered, not only hurricanes. So it can kick in for a storm that never reaches hurricane strength. - Windstorm or wind/hail deductible: applies to "any kind of damage from a wind or hail event," for example a tree that falls on your roof on a windy day. If your policy has no hurricane deductible, hurricane wind damage may fall under this one instead.

NAIC also notes that "no two laws are identical; triggers vary from state to state, as well as from insurer to insurer." Read the definitions section of your own policy.

None of these deductibles makes flood damage covered. NAIC says flood and storm surge damage is covered only by a separate flood insurance policy. For flood insurance, see our sister site FloodHawk. [2]

Per storm, per season or per year

How often you pay depends on the policy. NAIC: "Your deductible for named storms could be per event, per season, or per calendar year," and if several named storms hit in one coverage period, "you may have to pay the deductible more than once."

Florida sets a calendar-year rule by law for personal residential policies: the hurricane deductible "shall apply on an annual basis to all covered hurricane losses that occur during the calendar year." If you already had hurricane losses that year, the deductible for a later hurricane is the greater of what's left of your hurricane deductible or your regular (all other perils) deductible; the law lets the insurer apply that.

Florida example: dwelling coverage $300,000, 2% hurricane deductible ($6,000), $1,000 regular deductible.

- First hurricane: $4,000 of damage. It's all under the deductible, so the insurer pays $0, and $2,000 of your hurricane deductible is left for the year. - Second hurricane, same year: $10,000 of damage. The deductible is the greater of $2,000 (what's left) or $1,000 (regular deductible), so $2,000. The insurer pays $8,000.

Florida insurers may require you to report hurricane losses that fall below the deductible, or keep receipts for them, to get this credit on a later storm. So report or document small hurricane damage even if you don't expect a check. [1][3]

Florida rules (s. 627.701, Florida Statutes)

Florida has the most detailed hurricane deductible law. Under section 627.701:

- Choices you must be offered. Before issuing a homeowners policy, the insurer "must offer alternative deductible amounts applicable to hurricane losses equal to $500, 2 percent, 5 percent, and 10 percent of the policy dwelling limits." There are exceptions by dwelling limit: from $100,000 to under $250,000 the insurer may make a different offer in place of the $500 option; at $250,000 or more it doesn't have to offer $500; from $1 million to under $3 million it may offer 3% instead of 2%; at $3 million or more it need not offer 2%. - Notice at every renewal. The insurer must remind you of the available deductibles with each renewal. - Warning on the policy. A policy with a separate hurricane deductible must say on its face, in 18-point bold: "THIS POLICY CONTAINS A SEPARATE DEDUCTIBLE FOR HURRICANE LOSSES, WHICH MAY RESULT IN HIGH OUT-OF-POCKET EXPENSES TO YOU." - Over 10% takes a signed statement. On a home valued under $500,000, a hurricane deductible above 10% is allowed only if you personally write or type, sign and date a statement that you will pay that amount yourself (every named insured signs), and, if the home has a mortgage or lien, the lender or lienholder approves in writing. Such a deductible then applies for the policy term and each renewal, and changes to the percentage take effect only at renewal. - Mitigation credit. If you've taken hurricane mitigation steps, the insurer must let you choose a lower hurricane deductible or a premium discount. See wind mitigation inspection.

When a "hurricane" starts and ends in Florida. Under section 627.4025, the hurricane period begins "at the time a hurricane warning is issued for any part of Florida" by the National Hurricane Center and ends "72 hours following the termination of the last hurricane watch or hurricane warning issued for any part of Florida." The storm must be one the National Hurricane Center declared a hurricane.

Florida also allows a separate roof deductible (up to the lesser of 2% of Coverage A or 50% of the roof replacement cost), but by law it does not apply to roof damage from a hurricane. More on Florida's market: Homeowners insurance in Florida. [3][5]

New York

New York's Insurance Law section 3445 requires the Department of Financial Services (DFS) to set rules for a plain-language notice explaining "the amount of the deductible, the circumstances under which the deductible applies." An amendment also told DFS to "by regulation establish standards for hurricane windstorm deductibles, which create, to the greatest extent possible, uniformity in the operation of such deductibles with respect to the triggering event."

DFS did that in the third amendment to Insurance Regulation 159 (11 NYCRR 74), which DFS says "applies to all policies issued or renewed on or after February 2, 2026." Under it:

- What counts as a hurricane: a tropical cyclone with maximum sustained surface winds of 74 mph or higher, as determined by the National Weather Service (NWS). - Trigger: the hurricane deductible applies only when the NWS determines the hurricane made landfall in New York. - Time window: it covers only wind damage from 12 hours before that landfall until 12 hours after the NWS cancels the last hurricane watch or warning it issued for New York for that storm. - How it's applied: the insurer adds up all covered losses from the hurricane to see whether the deductible is reached; the deductible doesn't apply to loss-of-use (additional living expense) coverage; and if more than one deductible applies to a loss, only one is used (it may be the higher one). - Where it can be used: the insurer must show DFS there is enough hurricane exposure to justify it, and the deductible may vary by county, distance from the coastline, or both. - What you see: the declarations page must show the hurricane deductible as both a percentage and a dollar amount, and a notice with examples must come with each new policy and renewal.

Before this rule, triggers varied by insurer. DFS's older list of approved hurricane deductibles (revised Dec. 13, 2019) shows some that applied only to Category 2 or stronger storms and others to Category 1 storms, with percentages applied to the dwelling (Coverage A) limit.

Check your renewal notice, and contact DFS with questions. More: Homeowners insurance in New York. [6][7][8][9]

Texas

The Texas Department of Insurance (TDI) tells shoppers: "A deductible may be a specific dollar amount or a percentage. If a policy has a deductible that's a percentage, make sure you know how that translates to a dollar amount." TDI also notes that for home policies, the deductible "will be applied to each claim," and that a higher deductible generally means a lower premium.

On the coast, wind may not be in your homeowners policy at all. TDI says if you live "on the Texas coast or in Harris County on Galveston Bay, your home policy might not cover wind and hail damage," and the Texas Windstorm Insurance Association (TWIA) sells that coverage through local agents. See our TWIA page and Homeowners insurance in Texas. TDI's help line: 800-252-3439. [4][10]

South Carolina disclosure rule

South Carolina requires insurers, at each new policy and renewal, to tell you "whether a separate deductible is required for hurricane, wind, or named storm damage," and if so to include an example of how it works on a policy valued at $100,000, with "a clear explanation of the event which will trigger the deductible" (S.C. Code section 38-75-755). Insurers must also tell you about discounts or lower deductibles for wind-resistant construction. Look for that notice in your renewal packet. More: Homeowners insurance in South Carolina. [11]

Ways to lower or manage the hit

- Check the dollar figure now. Find your Coverage A limit and deductible on your declarations page and multiply. In Florida the insurer has to show the dollar amount for you. - Price a different percentage. In Florida, insurers must offer $500, 2%, 5% and 10% options, with the exceptions above for some dwelling limits. NAIC notes that "a higher deductible means a lower premium, but make sure you can afford the deductible if a claim arises." - Strengthen the house. Florida law requires insurers to give a deductible reduction or discount for hurricane mitigation. Our FORTIFIED roof guide covers roof grants and discounts. - Keep records of small storm damage. In Florida, losses below the deductible can count toward it for later hurricanes that year.

NAIC's advice for questions about your coverage or deductibles: contact your state department of insurance. [1][3]

Questions people ask