Unlike many carriers, ERIE’s named-storm deductible is a specific dollar amount rather than a percentage of your homeowners limit. Instead, you’re only charged your regular deductible if your home is affected by a named storm or a peril deductible of your choosing.
Peril deductibles are a new option from ERIE that let you choose different deductibles for different perils. They’re based on two things: how much premium savings you want and how much risk you’re willing to retain. These deductibles are actual dollar amounts instead of percentages—a good thing since percentages are more likely to lead to sticker shock when a deductible comes due after a major weather event.
“We’re giving Customers a new option and a new way to manage premiums with peril deductibles,” says Joe Vahey, vice president and product manager, Personal Lines. “Customers can choose a dollar amount deductible from $250 to $10,000 for weather events NWS formally names. This includes hurricanes, tropical storms and tropical depressions.”
You can also choose deductibles for fire and lightning, hail, theft and vandalism, water and wind.
Not interested in changing your deductible? No worries because you still have the option of keeping your original deductible.
“Your ERIE Insurance Agent can advise you about which deductibles are the best fit for you and show you how different deductibles impact your premium,” says Vahey.
ERIE will start rolling out this new option in September 2013. By April 2014, all ERIE Customers will be able to choose their own deductibles for these perils.
Watch a video of ERIE’s response to the April 27, 2011, Tennessee tornado.