201809.03 0 How does the deductible work with property insurance? in Public Adjusters Homeowners Insurance Deductibles A deductible is the homeowners consideration for being provided insurance coverage. This the amount of money a policyholder must pay out-of-pocket toward damages or a loss before their insurance company will pay for a claim. You do not actually pay your deductible to your insurance company like you would a premium or bill. If you file a claim and it is covered, the deductible is subtracted from the amount claimed. For example, say you have a $1000 deductible and you file a claim for $100,000. Your insurance company would pay you $90,000 for that claim. This is based on the assumption you do not sign an Assignment Of Benefits with a contractor.