FAIR Plan named storm deductible
The Massachusetts Property Insurance Underwriting Association (the FAIR Plan) says it received Division of Insurance approval to replace its minimum mandatory windstorm or hail deductible with a minimum mandatory named storm deductible on homeowners and dwelling policies incepting on or after August 1, 2018, and on older policies at renewal.
When it applies
The deductible applies for the duration of the named storm, defined as beginning 12 hours before a National Weather Service watch or warning for the storm is issued for any part of Massachusetts and ending 12 hours after any Massachusetts watch or warning is lifted or the storm is discontinued by the National Weather Service.
Media-named storms do not count
A named storm is a hurricane or tropical storm named by the National Weather Service. The FAIR Plan says the deductible does not apply to winter storms or storms named by TV networks or other non-official sources.
What a 2% deductible costs
A percentage deductible is applied to the dwelling coverage limit (Coverage A), not to the damage. On $300,000 of dwelling coverage a 2% deductible is $6,000; on $500,000 it is $10,000. Covered storm damage below that amount is paid by the homeowner.
Read your own declarations page and deductible endorsement: the policy wording, together with state law, decides which deductible applies to a loss. This page summarises the official state guidance only.