All Perils vs Named Storm Deductibles: SC Guide

Your All Other Perils (AOP) deductible—sometimes called your "standard" or "general" deductible—is the amount you pay out of pocket for most types of damage to your home. This is typically the deductible most people think of when they picture their homeowners insurance.

What Does AOP Cover?

The AOP deductible applies to damage from perils such as:

How AOP Deductibles Work

AOP deductibles are typically flat dollar amounts—meaning you pay the same amount regardless of your home's value. Common AOP deductibles in South Carolina range from:

• $500 (increasingly rare)
• $1,000 (most common)
• $2,500 (for lower premiums)
• $5,000 (highest flat deductibles)

A Named Storm deductible (also called a hurricane deductible or wind/hail deductible in some policies) applies specifically to damage caused by tropical storms and hurricanes that have been officially named by the National Hurricane Center.

When Named Storm Deductibles Apply

Your named storm deductible kicks in when damage is caused by:

The deductible applies from the time the storm is named until a specified period after it passes—typically 24 to 72 hours after the storm's center passes your area, depending on your policy.

How Named Storm Deductibles Work

Unlike AOP deductibles, named storm deductibles in South Carolina are usually percentage-based—calculated as a percentage of your home's insured value (dwelling coverage), not the damage amount. Common percentages include:

• 2% of dwelling coverage
• 3% of dwelling coverage
• 5% of dwelling coverage
• 10% of dwelling coverage (less common)

Understanding how to calculate your deductible can help you budget for potential roof repairs and make informed decisions about filing claims.

Step 1: Find Your Dwelling Coverage Amount

Look at your insurance declarations page for "Coverage A - Dwelling." This is the amount your home is insured for (typically the replacement cost, not market value).

Step 2: Identify Your Deductible Percentages

Find both your AOP deductible and your named storm/hurricane deductible on your declarations page or policy documents.

Step 3: Calculate Using the Right Formula

South Carolina has specific regulations governing how insurance companies can apply hurricane and named storm deductibles. Understanding these rules can protect you from improper claim denials.

SC Named Storm Deductible Trigger Rules

According to South Carolina Department of Insurance regulations:

Coastal vs Inland Differences

Myrtle Beach and other coastal South Carolina communities often face:

• Higher percentage deductibles than inland areas
• Mandatory named storm deductibles (some inland policies don't have them)
• Separate wind/hail deductibles in addition to named storm deductibles
• More limited coverage options from some carriers

The type of deductible structure significantly impacts your financial exposure when filing a claim. Here's a detailed comparison.

Flat Dollar Deductibles

Percentage Deductibles

Filing an insurance claim correctly can make a significant difference in your payout and out-of-pocket costs. Here's what we recommend based on our experience helping Myrtle Beach homeowners.

Before Filing: Determine Which Deductible Applies

When the Named Storm Deductible Applies

If your damage occurred during a named storm:

• Assess total damage first—include roof, siding, gutters, fencing, everything damaged by the storm
• One deductible per storm event—your hurricane deductible typically applies once per named storm, covering all related damage
• Combine all damage into one claim—if the storm damaged your roof, fence, and shed, file as one claim with one deductible
• Consider if filing makes sense—if total damage is close to or less than your deductible, paying out-of-pocket may be wiser

When the AOP Deductible Applies

If your damage is from a non-named storm event:

• Document that no named storm was active—weather reports, NHC archives
• Your lower AOP deductible applies—potentially saving thousands compared to hurricane deductible
• Each event may have separate deductible—unlike hurricanes, multiple storms mean multiple deductibles

Your deductible structure directly impacts decisions about roof maintenance, repairs, and replacement. Here's why this knowledge is crucial for homeowners.

Planning for Emergency Repairs

Knowing your deductibles helps you:

• Budget appropriately—have your deductible amount available for emergencies
• Understand worst-case scenarios—a 5% hurricane deductible on a $400,000 home means $20,000 out of pocket
• Maintain adequate savings—especially important before hurricane season

Making Smart Repair vs Replace Decisions

Consider this scenario:

Insurance Claim Strategy

Understanding deductibles affects your claim strategy:

• Small claims may not be worth filing—especially if damage is near or below your deductible
• Filing multiple claims can increase premiums or lead to policy non-renewal
• Timing matters—damage during vs after a named storm can mean thousands in deductible difference

While you can't always avoid high deductibles in coastal South Carolina, there are strategies to minimize their financial impact.

Review Your Policy Options

• Compare deductible options—sometimes paying slightly higher premiums for a lower percentage deductible saves money overall
• Shop around annually—deductible options and rates vary by carrier
• Ask about deductible buydown options—some insurers offer ways to reduce percentage deductibles
• Consider separate wind/hail policies—sometimes available with more favorable deductible structures

Build a Deductible Fund

Create a dedicated savings account for your deductible:

Invest in Mitigation

Reducing risk can lower premiums and potentially qualify you for better deductible options:

• FORTIFIED roof certification—can qualify for insurance discounts and grant programs
• Impact-resistant shingles—may lower premiums and reduce claim frequency
• SC Safe Home Grant—provides up to $6,000 for wind-mitigation improvements
• Hurricane straps and clips—strengthens roof attachment