Deductible - the pitfalls in the execution of insurance policies

05.08.2011

Deductible - the pitfalls in the  execution of insurance policies

It is believed that buying an insurance policy, you provide a material support in case of an accident on the road. However, even the most thoughtful of insurance may contain caveats about which is better know in advance.

Thus, the deductible - is the most unpleasant moment of any insurance.

Deductible - it's part of the losses that the car owner pays for itself, regardless of the amount of insurance and the insurance company. Typically, the deductible is set as a percentage of the sum insured or as a certain amount. Deductible can be in any insurance policy, although if there is a risk of frequent minor vehicle damage, then in the deductible does not make sense - because the client will have to pay for repairs, so that the insurance policy he did not need it.

But at the same insurance with a deductible is cheaper, so that owners of cars often choose exactly this type of policy. By the way, the insurance with a deductible encourages drivers to be careful on the road - because of damage that would be less then the amount of the deductible, he would have to pay yourself. In addition, the deductible is easier to execute documents for small accidents, since it is usually to get money for minor repairs like a couple of scratches on the body has to spend several days at an insurance company.

Franchise barely perceptible at the global crashes. For example, your insurance amount is 10 000 hryvnia. The percentage of the franchise - 5%. In this case, each accident payout from the insurance company will be reduced to 5% of the total sum insured, which means you get to 500 hryvnia less. If repair costs are, for example, 5,000 hryvnia, then you will pay 4500 hryvnia insurer, and the rest will have to pay out of pocket.

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