Question:

With regards to car insurance, what does having a deductable mean?

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For example, if I have a $500 deductable, what exactly does that mean when claiming from insurance?

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  1. A deductable is the amount of money that YOU will pay for any accident or insurance claim that you make.  So, for example, if you get hit by someone and the damage is $3000, you'll pay $500 and the insurance company will be the remaining $2500.  If you caused $50,000 in damage (assuming your insurance covers the complete damage cost), you'll again pay only $500 and they'll cover the other $49,500.  So, if you get in a minor fender bender and the cost to fix is $300, don't report it to insurance, because your rates will still go up, but you won't get a penny from them.  Hope I could help.

    You'll want to research this some more....

    http://www.surveyland.org/jump.php?link=...

    Have a nice day.


  2. Most of the answers are correct, however, just so you know.  The only time your deductable will apply is if your vehicle is being repaired.  So if you hit someone and injure them and you're not having your car fixed then the insurance company will pay the full amount.  A liability only policy wouldn't have a deductible.  And it's not a fee the insurance company charges you, it's your share of the responsibility they'll deduct from your payment.

  3. based upon your situation,I think you should find something useful here.http://car-insurance.easyideas4u.info/ca...

  4. It means, you get the cost to repair, OR actual cash value, minus $500.  If damage is under $500, they don't pay you anything.

    Effectively, the first $500 PER CLAIM, is out of your pocket.

  5. its another way for insurance companies to s***w you out of money.

    If you had a policy less than 6 months, ok i can see paying a deductable.  But let's say you've been paying on that policy for years and years.  So you would think that you've pretty much paid for a new car by now right.  Then you get in a wreck and wait??? you have to pay even MORE money to the insurance company for the deductable.  

    Allstate supposedly has a thing where for every year that you go without an accident, the take 100.00 off your deductable until it's down to 0.00.  Hmmm.. wonder where that deductable goes.  Higher premiums?

  6. It means you pay the first $500 of repair costs, and the insurance will pick up the rest.  This amount is "deducted" from what the insurance company will pay.

    The benefit to you of having a higher deductible, is that the rate you pay for your premium will be lower.  This works great until you have to file a claim.  

    The thing to remember is that the sooner you want the insurance company to start paying for damages, the higher the rate they will charge you for coverage.

  7. That's what you have to pay for the company to pay on the rest of the claim. And you must meet that deductable first, if the claim is for $3000.00, they will take out the $500.00 and send you a check for $2500.00

  8. When you put a claim in to your insurance company, the first $500 is your responsibility to pay.

  9. You will have to pay $500.00 on  the first claim, before insurance will cover any expenses.  If the claim is going to cost you less than $500 to repair, you may just want to pay out of pocket and not claim it on insurance. Your rates will probably go up.

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