Deductible Requirements

The following table describes the maximum allowable deductible for master property insurance policies covering project developments.

Per occurrence	The maximum allowable deductible for all required property insurance perils is 5% of the master property insurance coverage amount.
Per occurrence, multiple deductibles	When a master property insurance policy includes multiple deductibles, such as a separate deductible that applies to windstorms, or a separate deductible that applies to a specific property element such as the roof, the total amount for such deductibles applicable to a single occurrence must be no greater than 5% of the insurance coverage amount.
Per occurrence, per unit	Homium will allow a per unit master property insurance policy deductible when the sum of the applicable per unit deductibles is greater than 5% of the coverage amount and all of the following requirements are met. 1. The master property insurance policy has a per unit deductible for named perils specific to a geographic area where such coverage is common and customary; and 2. The borrower's individual property insurance policy includes a. coverage for the applicable peril(s); b. coverage for master property insurance policy deductible assessments levied on the unit owner by the HOA or co-op corporation for the applicable peril(s); and c. loss assessment coverage in an amount sufficient to cover assessments in excess of 5% of the master property insurance policy coverage amount, divided by the number of units.

Note: A deductible buy-back insurance policy purchased by the HOA may be used to meet Homium’s master property insurance policy deductible requirements, provided the policy meets all other property insurance requirements in Chapter Property and Flood Insurance, including insurer rating requirements.