One Deductible or Two?

April 7, 2014

A CP 00 10 form was written on three properties for the same insured, all located at different addresses. Each location is listed with a limit of coverage and deductible on the declarations.

A storm caused damage to two of the three locations.

My superior states that both losses to the buildings will be covered with one deductible taken. I felt that since there is a deductible listed for each location, a deductible would be taken for each loss.

What is the correct interpretation?

Mississippi Subscriber

The CP 00 10 states that when there is loss to more than one item of covered property and separate limits apply, a deductible is applied only once per occurrence. Nothing in the CP 00 10 addresses a situation where different deductible amounts apply to each location. There are other forms that state only the higher deductible will apply, which could be the case with your situation. But absent any other policy language pertinent to the application of deductibles, only one would apply.