Tampa, FL Car Insurance Quotes
When choosing auto insurance, you will likely compare many car insurance quotes to find the best possible price. During this process, it is wise to look at the quote from every angle because there are many variables that will influence the premiums that you pay. One of these variables is your deductible. An auto insurance deductible is the amount that you pay out of your own pocket before the insurance coverage takes over and pays for the remainder of the damages. The amount that you are responsible for can vary greatly depending on the terms of your policy. While choosing an amount for your deductible, there are some things that you should consider in order to be sure that you take advantage of the right car insurance quote for your budget. There are policies with no deductible, but the premiums are significantly higher than normal. As a general rule, the lower your deductible, the higher the premium.
How much do you have in Savings?
Do you have a savings account in case of emergencies? If you don't have some sort of savings or emergency fund, will you be able to pay a higher deductible if you have to file a claim? A $1,000 dollar deductible isn't going to save you much money if you end up taking out a loan for repairs. If you want to risk a higher deductible to save on premiums, start a savings account so you are prepared if an accident occurs. Get car insurance quotes that reflect several different deductibles to see which one is best for you.
How much do you have in Savings?
Do you have a savings account in case of emergencies? If you don't have some sort of savings or emergency fund, will you be able to pay a higher deductible if you have to file a claim? A $1,000 dollar deductible isn't going to save you much money if you end up taking out a loan for repairs. If you want to risk a higher deductible to save on premiums, start a savings account so you are prepared if an accident occurs. Get car insurance quotes that reflect several different deductibles to see which one is best for you.
How much is your Vehicle Valued At?
How much your vehicle is actually worth makes a difference in what deductible you should choose when getting car insurance quotes. The more a vehicle is worth, the more it costs to insure, for obvious reasons. Having a high deductible on a very expensive vehicle makes sense because with the cost of repairs to these vehicles, your savings will be significant.
If you want to keep comprehensive coverage on an older vehicle it probably doesn't make sense to go with a higher deductible. For example, if your vehicle is older than 10 to 15 years, a $1,000 deductible wouldn't make sense because with the exception of specific makes and models, the value of the vehicle is likely just a few thousand dollars more than your deductible. In addition, the savings you get from that $1,000 deductible (as opposed to a $500 deductible) may only equal a few dollars each month.
How much your vehicle is actually worth makes a difference in what deductible you should choose when getting car insurance quotes. The more a vehicle is worth, the more it costs to insure, for obvious reasons. Having a high deductible on a very expensive vehicle makes sense because with the cost of repairs to these vehicles, your savings will be significant.
If you want to keep comprehensive coverage on an older vehicle it probably doesn't make sense to go with a higher deductible. For example, if your vehicle is older than 10 to 15 years, a $1,000 deductible wouldn't make sense because with the exception of specific makes and models, the value of the vehicle is likely just a few thousand dollars more than your deductible. In addition, the savings you get from that $1,000 deductible (as opposed to a $500 deductible) may only equal a few dollars each month.
Get Car Insurance Quotes for several Deductibles
In order to choose the best policy, get quotes for several deductible categories and calculate how long it will take you to recoup your money. As an example, get car insurance quotes for both a $1,000 and a $500 deductible. Calculate the savings and how long those savings will take to add up to that $500 difference. If you can save that $500 difference in under 3 years, it may be wise to go with the higher deductible.
These are just a few of the things that should be taken into consideration when comparing car insurance quotes and choosing a deductible. Accidents aren't planned and no one can know when they will happen. Having a deductible that lowers your premiums may look attractive on your monthly payments, but if you file a claim and can't cover the deductible you may be without a vehicle. Driving a rental car or taking out an auto repair loan is going to be far more expensive than paying a few extra dollars a month for your premium.
In order to choose the best policy, get quotes for several deductible categories and calculate how long it will take you to recoup your money. As an example, get car insurance quotes for both a $1,000 and a $500 deductible. Calculate the savings and how long those savings will take to add up to that $500 difference. If you can save that $500 difference in under 3 years, it may be wise to go with the higher deductible.
These are just a few of the things that should be taken into consideration when comparing car insurance quotes and choosing a deductible. Accidents aren't planned and no one can know when they will happen. Having a deductible that lowers your premiums may look attractive on your monthly payments, but if you file a claim and can't cover the deductible you may be without a vehicle. Driving a rental car or taking out an auto repair loan is going to be far more expensive than paying a few extra dollars a month for your premium.