With so much uncertainty during this time, Cyrus and JR want to share helpful insurance tips during the coronavirus pandemic. The next topic in this series is about deductibles. In an insurance policy, the deductible is the amount of paid out of pocket by the policyholder before an insurance provider will pay any expenses. For example, if your auto policy has a line of $5,000 coverage and your deductible is $500, your insurance company is covering $4,500.
A higher deductible means a reduced cost in your insurance premium. So let’s say you have a $1,000 deductible on that same line of $5,000 coverage. This means your insurance company is covering $4,000, resulting in a lower premium for you. But if you were to file a claim, you would be responsible for covering $1,000 before your insurance covered up to $4,000 according to your policy.
Here are Cyrus and JR, giving you the must-know information on insurance deductibles during this time.
Insurance Deductibles and Additional Ways to Save
Auto deductibles can range from $250, $500, $1,000 and above. Depending on which deductible you choose for your policy, it could help you save you money on your premium. You can change your deductible amount at any time.
There are other discounts you may be qualified for. If you have a young driver in your home, a good student discount may be applicable. Anti-theft and safety features on your vehicle are additional ways to lower your insurance premium.
If you have any questions, you may reach out to Aksarben Insurance. We are ready to Protect Your Good Life.