Insurance deductibles - How much is yours?

[Jeff Jameson]

Just wondering what the general feedback is about property insurance deductibles. I have a mixture of long term and short term rental properties and wondering what a recommended deductible might be for both. Too low and the cost of insurance is absurd. Too high and I might never gain the value of insurance from an incident. What do you all use? Appreciate you sharing...

[Bill B.]

$2500-$5,000 depending on the property as the discount for higher deductibles changes depending on each property. My properties are 10 SFR and 2 townhomes (1/2 of duplexes). Ps. I would never make a claim under $10k anyway there's too big a discount for no claims.

In 25 years I’ve made two claims (both over $30k for toilet supply lines that burst in two different houses) and I ate a $3k clothes washer flood. Going from $500 to $2,500 saved $100+ per property per year and $5,000 saved $150+. So I saved somewhere between $1200-$1,800 per year, call it $1,500. So in 2-3 years you break even and I’ve saved over $30k minus the $3k loss I paid out of pocket.

Ps. Allstate sued the supply line manufacturer in both cases. In one case they returned my deductible even though they were only awarded $15k of the $30k loss. Class act.