Low Deductible Car Insurance

Choose an amount you re comfortable with but always consider the value of your vehicle.

Low deductible car insurance. Simply put a deductible on a car insurance policy is the amount of money you agree to pay for a car s accident damage before the insurance company provides any payment towards the damage. If your finances would be seriously rocked by an unexpected 500 or 1 000 expense play it safe and opt for a low deductible such as 250. Purchasing car insurance is pretty simple process but it can involve a lot of different steps. It depends on your personal comfort level and the amount of risk you are willing to take.

Having a low car insurance deductible gives you peace of mind especially if you re on a tight budget. Not every type of car insurance coverage requires a deductible but for. Let s say you re in an accident that causes 5 000 worth of damage to. You can save money on auto insurance by raising your deductible.

With a higher deductible your responsibility in the claim might be 1 000 leaving 1 000 for the insurance company to pay. Fender benders and other minor accidents can meet your low deductible meaning your insurance company will handle the damage and provide you with a rental car. Insurance companies give drivers different deductible amounts to choose from and most options fall between 100 and 2 000. Deductible rates can vary by state but the size of the deductible you choose usually depends on the amount of financial risk you are willing to assume the value of your vehicle along with the likeliness.

If your car is only worth 1 200 for instance then it probably wouldn t make sense to choose a 1 000. Figuring out what coverage you need comparing quotes and of course choosing your deductible amounts. With a low deductible you might pay 250 toward the repairs while your insurer covers the remaining 1 750. Insurance companies offer reduced rates when drivers increase their car insurance deductible amounts because drivers take on more risk making the policies less costly for the insurer this is an essential component of how car insurance works raising your deductible is a smart choice as long as you can afford the deductible if.

For more serious collisions low deductibles are even more important. Car accidents from the subsequent body work to the medical expenses eat up your deductible very quickly. Keep in mind that deductibles typically only apply to claims made against your own vehicle. Average car insurance deductibles.

It is really up to you to weigh your choices and determine the best option for you and your family. Picking your auto insurance deductible is a highly personal decision. Higher deductible lower car insurance rate and higher out of pocket costs lower deductible higher car insurance rate and lower out of pocket costs.