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Are Disappearing Car Insurance Deductibles Worth the Money?

Are Disappearing Car Insurance Deductibles Worth the Money?

There are often new policy add-ons and ways of covering risks appearing on the insurance market. Sometimes they do not have to be better, as being different may draw enough attention. Everyone is different after all and going for the same business requires competing hard. It is always best to look at the package on offer and ask yourself if it is worth the money.

Disappearing auto insurance deductibles may be one of those offerings which may interest a few motorists and why not have it if it doesn’t cost you more. It is a policy option offered by several companies. They may be offered as a standalone add-on or as part of a package policy. Generally, the packages that offer similar extras are a little bit more expensive. Either way, it is unlikely to be free.

That raises a serious concern when a company advertises them as if they are rewards but want more money if you want them. Motorists should always compare similar packages with standard ones in the market and see the differences. Buying an off the shelf policy package is always cheaper. It makes you think twice when a company is trying to differentiate. Are they trying to offer something better or avoiding the competition head on?

Disappearing (or vanishing) deductibles may be offered as part of a package. The package would probably contain other extras and would normally be more expensive than the standard package. At least one company offer them on their own. In that case you may roughly need to pay $50 to reduce your deductible by $100.

Also, you need to be claim and traffic moving violation free to be eligible for the reduced deductible. This raises the question; why did you pay extra $50 for and why would it not be offered free if you have to be a good driver for it? Also, why would you not go for straight premium savings for being a good driver?

According to companies, if you have a claim, you would go back to the standard deductibles regardless of accident being your fault or not. It can vanish if you stay accident free for a while and you will need to start all over again once you have a claim.

One of the more serious questions for disappearing auto insurance deductibles is the conditions and rewards. It is paradoxical in the way it is set. You need to be accident free to benefit from them. It may take five years to bring them down to zero. And all is lost as soon as you have an accident. Why would you pay for them?

You are a good driver and unlikely to have an accident. Why you are overly concerned about deductible that not only you would pay for but also lose out on possible savings? Why not concentrate of high premium discounts instead and save money today?

There are many auto insurers who would give you considerable discounts when you have no claims and they would keep giving you more as you continue in the same path. Keep the savings to pay for deductibles if an accident ever happens. Companies can make it sound great but it is up to you to be the judge of it.

Motorists should always get a few quotes to compare their options and vehicle insurance policy offerings properly. And they should go for another round of quotes when they want to see how playing around with coverage will affect the costs. For example, they may actually choose to increase them if it would mean that their premiums would be reduced a lot today.


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