About Auto Insurance Deductibles – Should You Have a High Deductible?

Reader’s Question:

They say you can save more money if you take on a higher deductible when filing auto insurance claims? Is that true?

Strond

Eugene, OR

Yes, it is true that you can get your regular premiums lowered by accepting a higher auto insurance deductible on your policy. A deductible of around five hundred up to a thousand dollars would already make your rates lower than the average. For those not aware, a deductible is basically the amount of money that you pay your car insurance company, or the amount of money the deduce against your total settlement, whenever your auto insurance claims get approved.

Some people tend to worry about having to increase the amount of deductibles on their policy but think of it this way, do you realistically see yourself getting involved in an auto accident there in Oregon in a years time? If raising your deductible to around $800 (depending on how much your auto insurance carrier allows) could mean shaving off around $10 a month then in a year you would have saved more than your deductible on insurance expenses, and if you do get involved in an accident, deductibles on your auto insurance claims will be the least of your concerns.

Aside from raising the deductibles on your insurance coverage, here are a few more suggestions to lower your car insurance costs.

• Consider enrolling in Defensive Driving Classes, not only will you learn how to keep yourself and everyone else safe while on the road, you will also qualify to get a Safe Drivers Discount.
• If you have students using your car (or your a student yourself) you can qualify for Good Students Discounts if you maintain an average of 3.0 or higher, ask your auto insurance carrier about the details.
• If you have not been involved in any car accidents and you have no traffic tickets or moving violations, you should get a good drivers discounts, if you are not getting one already.