I have not heard of a deductable figured as a percentage of the house value before, interesting. Myself, my wife just completed some extensive remodeling of our house in MN, she had a complete new Master bedroom addition built with his and her bathrooms, a walk-in closet and an office on the top level of the house. We have a 2 story walk-out, meaning the lower/basement level is not underground. She also had them enlarge the 1st floor family room, added another farmily/TV room on the 3rd level, a whole new kitchen and a 4 season porth off the kitchen. Also she enlarged the garage to hold 5 cars, along with having the garage insulated and heated. In MM a heated garage is really nice, but your heating bill goes up. Anyway, all this cost over $200,000 so I had to redo the Homeowners insurance. I went with a $10,000 deductable amount because the rates were considerably cheaper than the standard $1,000 deductable. For myself, I feel it is worth the risk to have a large deductable since it lowers your premium by a good amount. But the $10,000 deductable was not figured as a percent of the house value, it was just one of the many deductables he quoted me. Plus, I had him add a $10 Million Unbrella Insurance Policy too which added to the cost. Today, anyone that owns farmland should also have a Million Dollar+ Unbrella Policy. That's extremely important today with farmland going for $14,000/acre.
