The track and intensity qualify.
The named reporting source confirms a storm meeting the agreed intensity within the specified area during the contract term. The agreed schedule sets the payment for that qualifying event.
Condominium associations
Plan for the first dollarsafter the hurricane.
A large wind deductible can leave the association with a substantial bill before the master policy contributes. Explore a separate hurricane payment to help bridge that retained cost.
Master wind policyCovered loss above the deductible
The association’s retained layerDeductible + other cash needs
A potential role for reserves and separately structured hurricane protection.
A building deductible example
Five percent of what?
A percentage deductible can apply to insured building value. On a large property, that can be a much larger number than a percentage of the repair bill.
Example retained deductible
Based on insured value, not the repair bill.
Building value × deductible percentage = the retained deductible for this example.
Cat-in-the-box / two conditions
A defined storm. A defined area.
A hurricane contract can use a geographic box or radius and a minimum storm intensity. Both must meet the agreed terms for the scheduled payment.
Build around the association’s cash needs.
Set the payment schedule using building values, deductible exposure and available reserves. Compare storm scenarios to choose a geographic area, intensity threshold and payment limit.
A board-level review
Strengthen the whole recovery plan.
Read the master policy
Confirm replacement values, coverage limits and how the deductible applies across buildings and storms. Use that foundation to design the supplemental hurricane payment.
Separate wind from water
Review wind, flood and storm-surge protection as distinct parts of the plan. Match wind exposure to storm intensity and water exposure to local flood or surge measurements.
Size the cash bridge
Compare available reserves, deductible exposure and immediate recovery expenses. Test how much a proposed payment would help—and what the association still retains.
Before we talk
A few useful answers.
How do you calculate a percentage hurricane deductible?
We apply the deductible percentage to the value basis stated in the master policy. For example, 5% of a $20 million insured building value is $1 million. We then map the deductible across the association’s buildings to establish the cash need.
How do you size a cat-in-the-box payment?
We compare the association’s deductible, reserves and recovery expenses, then choose a scheduled payment for a qualifying storm within the agreed geographic area. That gives the board a defined source of recovery funding to plan around.
How does hurricane protection fit the association’s recovery plan?
It adds a scheduled hurricane payment alongside the master policy, flood coverage and reserves. We review those sources together so the board can plan for the deductible and immediate recovery expenses.
Your next step
Let’s look at your business.
Bring us the question. We’ll help you understand the exposure and the options available.
Prefer email? Contact our teamUseful for a first conversation
- Master property and wind policies with the full deductible clause
- Statement of values by building and available reserves
- Locations, flood coverage and emergency cash requirements
You don’t need everything ready to get in touch.
Compare parametric insurance and weather derivatives.
Research & further reading
Further reading, reviewed October 2026.