Kin Insurance has announced new guidance aimed at helping homeowners balance premium savings with deductible affordability when selecting home insurance coverage. The announcement was shared in a post on X.
According to the Insurance Information Institute, deductibles represent the amount a homeowner must pay out of pocket before their insurance coverage begins. Choosing an excessively high deductible can lead to significant affordability challenges. While raising deductibles lowers monthly premiums, it shifts more financial risk to policyholders in the event of a claim. Kin emphasized that balancing premium costs with deductible affordability is critical for ensuring insurance provides meaningful protection during emergencies.
Kin's announcement highlighted survey data indicating that 59% of homeowners would not be able to pay a $5,000 deductible immediately if required after a claim. This underscores how higher deductibles can leave many households unable to use their insurance when they need it most, despite enjoying lower monthly payments. Kin argued that deductibles should only be set at levels that families can realistically afford; otherwise, the insurance itself becomes functionally inaccessible.
The National Association of Insurance Commissioners (NAIC) reported that raising deductibles can modestly reduce monthly premiums, but the overall savings are often less significant than expected. Their consumer guidance explains that the higher financial risk created by large deductibles may outweigh the benefit of slightly lower premiums. Kin echoed this research to remind customers that deductible selection should focus primarily on risk management rather than short-term savings.
Founded in 2016 and headquartered in Chicago, Kin is a direct-to-consumer digital home insurance provider specializing in coverage for high-risk weather and disaster-prone markets. The company leverages advanced data analytics to offer precise underwriting, immediate quotes, and streamlined claims processing, avoiding many of the overhead costs associated with traditional insurers. According to its official website, Kin operates in multiple states including Florida, Texas, Louisiana, and Missouri and has built a reputation for affordability, customization, and highly rated customer service.