Car Insurance Deductible
If you have comprehensive and collision coverages on your policy for example youll need to select deductibles for each coverage.
Car insurance deductible. When you have a deductible you have to come up with the amount of money for your deductible before a claim gets paid in many circumstances. Its one of the most common car insurance questions and may be the easiest to answer. The insurance deductible is the amount of money you will pay in an insurance claim before the insurance coverage kicks in and the company starts paying you. An auto insurance deductible is what you pay out of pocket on a claim.
With insurance costs going up many people are increasing their deductibles to 500 on comprehensive and 1000 on collision. Commercial insurance deductibles work the same as car and home insurance deductibles with the exception that they are customized and tailored specifically for business insurance solutions. A car insurance deductible is what you pay out of pocket before certain coverages can kick in. Zero deductibles are on the endangered species list because very few insurance carriers offer no deductible.
In other words its the amount you agree to contribute toward the cost of a claim with the insurer covering the remaining amount. For instance if you have a 500 deductible and 3000 in damage from a covered accident your insurer would pay 2500 to repair your car. For instance you could go with 100 deductible on comprehensive and 500 on collision. Deductibles ensure that insurance does what it is intended to do pay for substantial losses not minor ones.