The amount of money you receive for your claim is based on several factors:

• The Limits of coverage you have
• The Quantification of covered damage

Here is an example, if your home suffered $150,000 of damage resulting from a hurricane, but your policy Limit is only $100,000 of homeowners insurance coverage, then your insurance company will pay you the limit of your policy, you will be responsible for the difference, in other words you will have to come out of pocket. In this case, you receive a payment from your insurance company for $100,000, and then you cover the remaining $50,000 out of pocket.

But, when the damages fall within the policy limit, they will quantify the damages and send you a check for what they feel your claim is worth.

So, it is especially important for homeowners to have a clear understanding of their coverage limits. This information can be found on the Declarations Page of the policy and your Insurance Agent should have reviewed the coverages with you.

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