Understanding Your Auto Insurance Deductible

Insurance Deductible – The amount or portion that a claimant is responsible for paying when dealing with insurance repairs.

When you entered into your insurance policy, you agreed on a deductible . This is the amount that you will be responsible for in the event of a claim. Automotive deductibles can range from zero (no deductible at all) up to $2,000 or more. Most people agree on a deductible in the $250-500 range. The higher the deductible, the lower the monthly payments, but the higher the risk of paying more out-of-pocket if something bad does happen.

When you have insurance, you are no stranger to the deductible. Before the insurance can be of any help to you, this is the amount that you have to pay. If your insurance deductible is 1,000 dollars, as an example, but you have 1,500 dollars in damages, you are going to have to pay the 1,000 dollar deductible and the insurance will cover the 500. When the deductible is gone, the insurance will likely pay the rest, assuming it is covered under your policy. Paying deductibles is not something that you can avoid if you have insurance and are trying to save as much money as you can. You agreed to pay this amount.

You know what your insurance deductible is right away. Before you even get your first repair bill, you already know how much of it is going to fall on your shoulders. This important information, especially when trying to figure out how much the insurance will cover. Talk to your insurer about your deductible if you do not know what it is. You cannot avoid paying deductibles unless it is waived, so you should know what your bill will be. Usually, you are going to have to pay it and you are going to have to pay the full amount quickly. The insurance will not help you to pay off the rest until this is met.

Waiving insurance deductibles is possible. This is when you do not have to pay the deductible at all, putting it all on the insurer. These situations usually come with waivers, so you already know that you are not going to have to pay. These do not apply in all situations, though. Usually, waiving deductibles is only possible when the damage was not something that you caused. If you are not in any way at fault, you may be able to get your deductible waived. This does not mean that it will be the case in all situations, just that a waiver normally requires that you are not at fault.

Sometimes PDR Shops may offer to pay or waive your deductible. Be wary of this practice. Many of these companies are fly-by-night. They do not carry the appropriate business insurance and usually cut corners and deliver an inferior repairs. Many drill holes or cut braces loose which in the event of a collision could be the difference between life and death. These companies are referred to as Gypsies and are always on the move. When a problem is noticed, these companies are long gone. Yes, some reputable shops may be able to help you out with part of your deductible and there are ways in which this can be accomplished legally and ethically. Please, contact the World Hail Network for case by case advice.

Certain damages may cost more. A hail damage deductible, as an example, may run you some more money. This is especially true if the insurance deductible is separate, a cost on its own. In these situations, there is not much that you can do other than pay the deductible. You should just make sure that you find an affordable repair shop so that the cost is minimized. When you are working with someone professional and affordable, it should be easier for you to save on the repairs that you need.

Savings on your repairs is not too difficult. World Hail Network gives you access to many businesses that are ready to help you with your repair needs.. You will have access to information and skills that you need. Getting things repaired quickly and correctly the first time is the best way to avoid additional costs. It is important that you take advantage of this when you are trying to save money. You might end up spending less money if the cost comes under your deductible.

Minor hail damage may cost less than your insurance deductible.

When your vehicle sustains minor damage, it can be removed with PDR. If you have a high deductible and very little damage, we advise you to get a PDR estimate prior to making a claim.

For example, if you have a $1,000 deductible and only $400 worth of hail dents, it is easier and wiser to simply pay for the repairs out-of-pocket since insurance would not be paying anything, you can just avoid claiming the damage.

 

Understanding Your Auto Insurance Deductible – By Dave Streen and contributors

Read about the next term: Dent – When metal is bent out of shape, the depression is known as a dent.

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