It’s an unfortunate fact, but today Colorado is well-known for wind and hail damage. If you own a home in Colorado, you assume your homeowners insurance protects you from these disasters. What you might not know is more insurance companies are transitioning to wind and hail deductibles. Instead of a flat fee, insurers calculate your wind and hail deductible based on a percentage of your home’s insured value. This can cause your out of pocket costs to skyrocket in the event of a claim. Here are some tips on how to keep your premiums low and avoid sky-high deductibles.
What’s a Wind & Hail Deductible — and Why Is It So High?
Homeowners insurance traditionally covers perils like windstorms and hail. But insurers, faced with more frequent and costly weather events, have transitioned to percentage-based deductibles for wind and hail losses. Rather than a fixed amount, you might see 1%, 2%, or even higher of your home’s insured value as the amount you must pay before coverage kicks in. On a $500,000 home, that means a deductible of $5,000 to $10,000 or more — just to file a claim.
This deductible structure helps keep premiums lower overall, but it also means more financial exposure for homeowners when disaster hits. If you’re expecting a small storm repair to be covered, the financial reality can sting.
Strategies To Reduce Your Storm Insurance Burden
This dramatic increase in premiums can really hit homeowners hard, but there are solutions out there to lower your financial risk. Here are four strategies to consider before a potential wind and hail insurance claim.
1. Raise Your Deductible
Choosing a higher wind and hail deductible lowers your annual premiums. It’s a calculated trade-off — less out of pocket costs now for more risk later.
2. Consider a Deductible Protection Solution
Rather than shouldering the full burden of that larger deductible if a storm hits, homeowners can add a deductible protection policy alongside their existing coverage. This supplemental policy doesn’t change your primary homeowners plan — but it helps cover the deductible if a qualifying wind, hail, or tornado event occurs. Some versions pay out based on objective storm data, removing disputes and long wait times from the claims process.
3. Upgrade Your Home’s Storm Resistance
Home improvements like impact-resistant roofing, shutters, or reinforced garage doors can sometimes qualify for credits to lower your premiums. Even if they don’t directly reduce your deductible, they can help minimize claim costs or make your home less vulnerable to damage.
4. Work With an Independent Agent
Independent insurance agents like Square State Insurance can compare multiple carriers and policy structures — including deductible options — to find balanced solutions for your goals.
Enter the New Wave: Data-Driven Wind & Hail Payouts
Emerging insurance models are shifting the way coverage works altogether.
One example is Sola Insurance, a company building data-driven wind and hail protection products that focus on simplicity and speed. Rather than traditional claims that hinge on adjuster inspections and subjective evaluations, Sola leverages verified weather data — such as hail severity scores and wind intensity measurements — to trigger payouts automatically when severe weather meets a threshold.
Key benefits to purchasing coverage through companies like Sola Insurance:
- Objective triggers — no long disputes about damage or what qualifies.
- Fast payouts — money arrives quickly after qualifying events.
- Transparent structure — your benefit depends on measurable weather data, not cumbersome inspections.
These products don’t replace traditional homeowners insurance. Instead, they supplement it — often covering what your primary policy might leave you to pay out of pocket, like a high deductible after a tornado, windstorm or hailstorm.
Wind And Hail Insurance – What This Means for Homeowners
The risk from powerful storms is on the rise in Colorado. Traditional homeowners insurance alone may not be enough, especially when high deductibles stand between you and the coverage you thought you had.
By combining smart risk management (like storm-resistant home upgrades and carefully chosen deductibles) with innovative insurance options that use data to pay quickly and fairly, homeowners can gain:
- Greater financial predictability
- Lower overall cost of ownership
- Peace of mind when bad weather hits
Whether you’re reviewing your current policy, shopping for a new one, or simply planning for future storms, understanding both the limits of traditional coverage and the potential of new solutions can make all the difference. Square State Insurance is here to help you evaluate the right options for you. Click the link below to get a risk free quote on wind and hail deductible insurance.
