What is wind deductible buy back insurance?
Short answer. Wind deductible buy back insurance is a separate policy that reimburses part of a large wind, hurricane or named storm deductible on your main homeowners policy. If your 5 percent hurricane deductible is $15,000, a buy back policy might cover most of it in exchange for its own premium and a smaller deductible. It is sold mainly in coastal areas with high percentage deductibles.
How it works
- A covered wind or hurricane loss occurs, and your main insurer pays the claim minus your large deductible.
- You file with the buy back policy, showing the main insurer's settlement.
- The buy back insurer reimburses the deductible, minus its own smaller deductible, up to its limit.
Things to check before buying
- Which deductibles it covers: hurricane only, named storm, or all wind and hail.
- Its own deductible and limit.
- Waiting periods before coverage starts, and whether it can be bought when a storm is approaching.
- Cost versus simply lowering the deductible on your main policy.
An alternative most Georgians should price first
Inland, most roof claims come from spring hail and thunderstorm winds, which fall under the regular wind and hail deductible. Ask your agent what it costs to move from a percentage to a lower flat wind and hail deductible on your main policy. That option is often simpler and covers the storms North Georgia actually sees most.
What does not count as a buy back
A contractor offering to cover your deductible is not insurance; it is illegal in Georgia. See can a roofer pay your deductible.
More on deductibles: percentage wind and hail deductibles and wind damage claims.