How much should my home insurance deductible be?

A dollar amount deductible is the fixed dollar amount that you, the homeowner, has to pay out-of-pocket when you file a claim for a covered loss. While you may have many different deductible options available, a general rule of thumb is to pick a flat deductible that is equal to 1% of your homes replacement cost.  If you would need $250,000 to rebuild your home, then you should select a $2500 (250,000 * 1% = 2,500) or higher deductible.