Should You Raise Your Home Insurance Deductible?
A Smarter Way to Save
If you’re like most homeowners, your first instinct is to keep your insurance deductible as low as possible. After all, no one wants to be on the hook for a big bill if a storm damages their home.
But what if there was a way to raise your deductible and reduce your financial risk?
For many Kansas City homeowners, raising your wind and hail deductible can significantly lower your home insurance premiums, and lower your monthly mortgage payment if your premium is escrowed. When paired with the right supplemental protection, this strategy can actually help you save money without sacrificing coverage
What Happens When You Raise Your Deductible?
Home insurance deductibles are the amount you agree to pay out of pocket before your policy kicks in. The higher your deductible, the lower your premium.
Here’s an example of how the savings can work:
- A homeowner with a $2,500 wind/hail deductible might pay $2,200/year for their policy
- Raise that deductible to $10,000, and the premium might drop to $1,700/year
- That’s a savings of $500/year—every single year
If your insurance is paid through your mortgage, that $500 savings can directly reduce your monthly mortgage payment as well.
Why Most People Don’t Raise Their Deductible
It makes sense on paper, so why doesn’t everyone do it?
The biggest concern is risk: “What if a storm hits and I can't afford the deductible?” That fear keeps many people paying more than they need to.
Fortunately, there’s a smart workaround that removes that fear while still letting you benefit from a lower premium.
The Smarter Strategy: Use Sola to Cover the Gap
This is where a new type of insurance comes in. Sola is a supplemental policy that helps cover your wind and hail deductible.
Instead of hoping you can cover $10,000 if a storm hits, you:
- Raise your home deductible to save money
- Purchase a Sola policy for a fraction of that savings (often $300–$400/year)
- Let Sola cover the gap if your home is damaged by wind, hail, or a tornado
You still get the premium savings, but you don’t carry the risk.
Why This Matters for Mortgage Stability
With rising home values and insurance costs, many lenders are seeing mortgage escrows spike. If you can reduce your insurance premium by raising your deductible, you can help stabilize or even lower your mortgage payment.
Pairing that higher deductible with a Sola policy means you’re still protected,you’re just spending smarter.
Is It Right for You?
This strategy works best for homeowners who:
- Live in areas like Kansas City where wind and hail claims are common
- Want to lower their monthly expenses without losing protection
- Haven’t had frequent past claims
It’s a modern approach to insurance, built for smart homeowners who want peace of mind and real savings.
Final Thoughts
Raising your deductible used to mean taking on more risk. But today, with new tools like Sola, it can actually mean spending less while staying protected.
Want to see how this strategy could work for you? Get a quote and see your options today.