Have you recently been in an automotive collision? Do you have questions regarding your car insurance claim and deductible policy? Simply stated, a car insurance deductible is the amount of money you are required to pay out of pocket before your car insurance carrier will pay for the supplemental repair expenses. A car insurance deductible is exemplified in the following equation:
- Total Cost of Damage Repair: $1,500
- Deductible: $500
- As the car owner you pay $500 toward the repairs, and your insurance company will pay the remaining $1,000 toward the repairs.
- There are different types of insurance policies such as comprehensive, collision, and/or liability coverage. Only collision and comprehensive policies (not liability coverage) carry deductibles.
- You pay your deducible if you are in an automobile collision and found at fault.
- You pay your deducible if your vehicle has been stolen. Your insurance provider will provide a cash settlement based on the value of the stolen vehicle, and your deductible amount will be deducted from the cash settlement amount.
- Comprehensive coverage plans frequently have a caveat in the instance of glass or window damage. Depending on your individual plan, you may not need to pay a deductible to repair windshield or window damages
- If you are in a collision that results in a long investigation to determine who was at fault, you will need to pay your deductible in order have your vehicle repaired in the interim. If the investigation concludes the other driver is at fault, you can receive a deductible reimbursement via the subrogation process.
- You do not need to pay your deductible if you have been struck by an uninsured driver and your policy has an uninsured drive waiver option.
- A high deductible equates to a less expensive premium, and subsequently a higher financial risk. Comparatively, a low deductible will increase your premium, but comes with a lower financial risk.
Still have questions about auto insurance deductibles? Insurance claims can be confusing and stressful; call Mercer Auto Body today and we will answer any questions that you have and help you navigate these uncertain times. At Mercer, we manage our customer’s claims from start to finish and work directly with your insurance company in order guarantee fast and efficient repairs.
Mercer Auto Body services customers in Kennett Square, Avondale, West Grove, Landenberg, Toughkenamon, Hockessin DE, Chadds Ford, Unionville, and Concordville.