The Facts about Your Deductible

An auto insurance deductible is the monetary sum you pay out of pocket after filing an insurance claim. Once you pay your deductible, your insurance provider will kick in to pay the costs associated with your vehicle’s repair above and beyond the deductible amount.

Have you recently filed an insurance claim and have questions regarding your deductible? A few fast facts about auto insurance deductibles are described below.

Standard Equation: If your vehicle needs $2,000 worth of repairs and your deductible is $500; you pay $500 out of pocket and your insurance provider pays the remaining $1,500. If your vehicle needs $450 worth of repairs and your deductible is $500; you pay the total $450 towards the repairs.

Rule of Thumb: A high deductible will give you a less expensive premium, but also carries a higher financial risk in case of a claim. Comparatively, a low deductible equates to a more expensive premium and a lower financial risk.

Coverage Type vs. Deductibles: The different types of auto insurance policies are comprehensive, collision, and/or liability coverage. Deductibles only apply to comprehensive and collision claims, and they can be the same or different, depending on your policy.

You pay your deductible when: You are in an automobile collision and found at fault; you have a comprehensive claim such as hitting a deer; your vehicle has been stolen and you are seeking a cash settlement to replace your car; and if your vehicle has been vandalized or stolen and returned with damage.

Exceptions and Variances: Many comprehensive insurance plans have deductible exemptions for glass damage. In addition, you will need to pay your deductible while in the midst of a lengthy liability investigation. If the investigation concludes that you were not at fault, you have the potential to receive a deductible reimbursement via the subrogation process.





Wren’s Auto Body services patrons located in Douglasville, Bremen, Carrollton, Dallas, Villa Rica, Lithia Springs, Austell, Atlanta and all of West Georgia.