One of the first questions one may ask is... What is a deductible? Or how much is my deductible? A deductible is an amount you are responsible for when a loss occurs, regardless of fault. If you choose to go through your own insurance carrier, this amount is owed to the shop of your choice or is subtracted from the total loss payment if your vehicle is determined to be a total loss. Let's say the damages to your vehicle are $1,500. If you have a $500 deductible, you would pay $500 to the shop and your insurance company would pay anything above $500 to the shop. Most insurance companies will only pay up to the Actual Cash Value (ACV) of your vehicle. I will review the total loss process in a different post. Needless to say though, you would owe the amount of your deductible to the shop in case you are involved in a loss. Remember, you determine your deductible, so do not complain to your insurance claim adjuster when they advise that you owe your deductible to a shop. Seco
Many people out there haven't been in an auto accident and do not really think about auto insurance until they have been in an accident. While navigating the claims process, many questions come up about how auto insurance works. This blog is meant to provide some insights and education about how it all works. Feel free to contact me with questions!