Save Money with a Disappearing Deductible Credit
What is a Disappearing Deductible?
As a Massachusetts driver, there are a variety of auto insurance discounts and additional coverage options available to you that can save you money on your premium, on repair costs related to an accident, and more.
But have you heard about the auto insurance coverage option that rewards drivers who have safe driving records with dollar credits over and over and over again? It’s called a Disappearing Deductible.
To determine whether this policy option is a good fit for you, you are going to need all of the details, including what is a disappearing deductible, how it works, and, most important, are you eligible to take advantage of this credit that pays you back.
Understanding Disappearing Deductible Rewards
Unless you are a driver with a zero-deductible auto insurance policy – which is extremely rare – or you are a car owner who has decided not to carry collision or comprehensive coverage on your vehicle, then your auto insurance policy includes a deductible amount.
An auto insurance deductible is typically either $500 or $1,000 and only applies to the collision and comprehensive portions of your policy. In the event of an accident or if your car is vandalized, this deductible amount is what you will have to pay out for repairs to your vehicle before your insurance kicks in.
However, having disappearing deductible rewards on your auto insurance policy can save you from digging into your own funds to pay for vehicle repairs, or at least reduce the amount you have to pay out of pocket.
For example, let’s assume you had a $500 collision deductible at the beginning of your policy term and that your insurer offers $100 disappearing deductible credits each year you continue to have a clean driving record. Thus, upon annual renewal, if you’ve met the safe driving criteria of your insurer, your deductible would drop to $400, while your coverage and your premium would essentially stay the same. Also, this means that if you were to get in an accident, you would now only be accountable for paying for $400 worth of related damages to your vehicle rather than the original $500 deductible amount.
If you have had a clean driving record – meaning no accidents or traffic violations – for over a year, you might be able to take advantage of this program today. Then, you can sit back and watch your deductible amount decrease, year after year, by as much as $100 per year. Some of the insurance companies we work with will even let your deductible vanish all the way down to $0!
5 Things To Know About Disappearing Deductible Rewards
Selecting a disappearing deductible coverage option sure sounds like a simple way to reduce the potential amount you would ever have to pay out of pocket for accident-related car repairs. However, before signing up, it’s important to consider these five key program elements:
Want To Know More About Disappearing Deductible Rewards?
Whether you have a squeaky-clean driving record or one you’re not quite as proud of – with maybe a moving violation or two over the past few years – it’s worth talking to a local and experienced independent agent, like Gilbert Insurance, to understand if the disappearing deductible option is available to you. In addition, the Gilbert team will be able to provide you with advice on whether this rewards program would be a good deal for you based on both your driving record and the amount of money you could potentially save on your deductible.
Since 1951, we have been advising drivers of all ages and experience levels North of Boston on not only the best auto insurance options for their needs but also on how to make Massachusetts auto insurance affordable for all licensed drivers in the household. To ensure we identify all the discounts and additional coverage options you are eligible for, including disappearing deductible credits, we will spend time getting to know you and your family, your vehicles, and your driving behaviors.