Deductibles, Deductibles, Deductibles

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Deductibles, Deductibles, Deductibles

A deductible is a key feature of many types of insurance coverage. Insurance policy deductibles serve a couple of very important objectives. Do you know what they are? First, deductibles allow insurance companies to save money by not having to respond to frequently occurring, small losses. Second, deductibles create an incentive for consumers to make the effort to eliminate losses. Deductibles can come in different forms such as the following:

Flat Deductible – A set dollar amount that will be taken from each claim. The given amount is stated in the policy and it does not vary with each loss.

Waiting Period – A certain amount of time that must pass after a covered loss occurs before any coverage can take place.

Straight Deductible – Also known as a flat deductible.

Franchise Deductible – A provision that no loss is paid by the insurance company when the loss amount is less than an agreed amount called the franchise. However, if the damage equals or goes beyond the franchise, the company pays all of it.

Percentage Deductible – Could also be called a participating deductible, it is a stated proportion of any loss that occurs, such as 5% or 10%.

Disappearing Deductible – An amount deducted from the amount of loss which is reduced as the size of losses gets larger, finally disappearing entirely when a loss reaches a certain, specified figure.
Aggregate Deductible – In this instance, an insured qualifies for an insurance payment only after all eligible, incurred losses during the policy year exceed the established deductible amount.

The insurance experts at AWS are always standing by to help you with any questions you might have about your deductibles and home, auto or business insurance policies. We pledge to recommend policies or alternatives that achieve maximum asset protection while minimizing the overall total cost of risk.

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Melinda Martin

Account Executive

Melinda began her insurance career in 1985 with Alexander & Alexander where she received her Property & Casualty and Life & Health license. Since then she has worked at various agencies in the New Orleans area and in California as a senior account manager for Employee Benefit Plans.  While in California, she was also the Membership Director for the Burbank Chamber of Commerce. Melinda joined the AWS team in July of 2015.

Michael A. Seeling

Vice President

Graduated from the University of Louisiana at Lafayette with a B.A. in Insurance Risk Management and is a graduate of Archbishop Rummel High School in New Orleans. He joined AWS in October of 2008 and has been awarded the Patient Protection and Affordable Care Act Certification (PPACA). Additionally, he is working towards his Certified Insurance Counselor (CIC), Registered Health Underwriter (RHU), and Registered Employee Benefits Consultant (REBC) designations. He is also a member of the National Association of Health Underwriters (NAHU), National Association of Insurance Financial Advisors (NAIFA), and is an active member of the Fore!Kids foundation.

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