How Does an Insurance Deductible Work?
Navigating an automotive repair can seem daunting, especially when it involves an insurance claim. One of the most common questions we are asked is: “How does an insurance deductible work?”
Let’s simplify it for you. Specifically with regards to a comprehensive claim.
At its core, an insurance deductible is the amount you pay out-of-pocket for a repair while your insurance company pays the remainder. Think of it as a shared cost between you and your insurance provider.
As an example, if your repair costs $2,000 and your deductible is $500, you pay the first $500 and your insurance covers the remaining $1,500.
Comprehensive Claims Process – Hail Damage and Beyond
Comprehensive insurance, contrary to what its name might suggest, doesn’t cover everything. It is specifically designed to cover damages to your vehicle that aren’t caused by a collision. These are typically incidents where the damage was beyond your control. Comprehensive claims includes events that are often out of the drivers control, such as:
- Hail damage
- Storm Damage
- Deer Damage
- Vandalism
- Theft
- Natural disasters
When your vehicle is damaged by a hailstorm (or any other event covered by comprehensive insurance), here’s how it generally works:
- Report the Damage: Contact your insurance provider to report the damage.
- Insurance Initial Estimate: An adjuster may inspect your vehicle to offer an initial estimate the repair costs. Some insurance companies may offer a virtual estimate for the initial consultation. The initial estimate written by insurance will normally be very inaccurate.
- Choose A Repair Shop: The repair shop that you choose will diagnose and document the damage and will write a repair plan. Normally a supplemental estimate is needed. This is where all damage that was missed on the original insurance estimate is documented.
- Deductible Comes Into Play: Once the repair plan is written and the cost is estimated, your deductible amount is subtracted from this total. This will determine the amount your insurance will pay.
- Repair: The repair facility will handle the rest. If the repair costs are above your deductible, you pay only the deductible amount and the insurance covers the rest.
Frequently Asked Questions About Insurance Deductibles
What exactly is a comprehensive insurance deductible?
A comprehensive insurance deductible is the amount you pay out-of-pocket for a covered loss before your insurance company starts to pay. If your repair costs are $1,500 and your deductible is $500, you’ll pay the first $500 and your insurance will cover the remaining $1,000.
Does my comprehensive deductible apply to every incident?
No, your deductible is applied per claim. So, if you have multiple incidents (like two separate hail damages in a year), you would typically need to pay your deductible for each separate claim.
If a supplemental estimate is needed, will I have to pay more than my deductible?
No. The deductible is a cap to your repair cost. Even if the final bill is more than the insurance estimate, your insurance company is still responsible for the additional cost.
If the repair costs less than my deductible, should I still file a claim?
If the cost to repair your damage is less than your deductible, you would be responsible for the entire cost. In these cases, some clients choose not to file a claim. However, always consult with your insurance agent before making a decision.
What kind of damage does comprehensive insurance cover?
Comprehensive insurance covers damage to your vehicle that isn’t caused by a collision. This includes hail damage, vandalism, storm damage, deer damage, and certain natural disasters.
Can I choose a different deductible amount for my comprehensive coverage?
Yes, most insurance providers offer a range of deductible amounts. A higher deductible often means a lower premium and vice versa. However, it’s essential to choose a deductible that you can comfortably afford in case of a claim.
Always consult with your insurance provider or agent for specifics related to your policy and any questions you might have.
Benefits of Choosing Paintless Dent Repair for Hail Damage
- Cost-Efficient: Paintless dent repair often costs less than traditional repair methods. Especially when you factor in the time savings and potential rental car savings of PDR.
- Time-Saving: Most paintless dent repairs can be completed significantly faster than traditional methods.
- Original Paint Job: Keep the original factory paint on your vehicle.
- Resale Value: Maintains the resale value of your car by avoiding fillers, paint mismatches, and other common issues associated with traditional repairs.
At EZ Auto Spa, we work closely with you and all major insurance companies to ensure a smooth, hassle-free repair experience. If you’ve recently experienced hail damage or any other dents that you believe can be fixed through paintless dent repair, where here to help.
