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Auto insurance can be difficult to understand, especially when it comes to deductibles and determining whether you should have a high or low deductible. When setting your deductible rate, there are a few factors to consider to help you determine how high or low you should go. For help making a decision about the best auto insurance policy for your needs, trust Comaltex Insurance Agency of New Braunfels, TX, to talk you through everything you need to know.

Here are three ways to determine your ideal car insurance deductible:

  • Understanding Your Deductible: If you have an accident, the deductible is the amount of money you will have to pay first before your insurance covers the rest of your damages. In general, a higher deductible leaves you on the hook for greater costs if you need to make a claim but results in lower insurance premiums upfront. Conversely, low deductibles result in higher upfront premiums.
  • auto insurance Monthly Cost Of Insurance: Higher deductibles mean lower monthly insurance rates for one simple reason: If you have to pay more to get your car fixed, the insurance company benefits because they pay less. Lower deductibles raise your auto insurance rate because, in the event of an accident, the insurance company has to pay a larger settlement.
  • Your Personal Risk: Your personal risk also makes a huge difference. If you have a record of accidents while driving, a lower deductible may be beneficial to make sure you can always cover your damages. If you have a large number of claims against your insurance or have had claims in the past, a lower deductible may be better suited for you. If you have significant personal savings allowing you to easily cover the higher deductible, you can save money on your premiums in the long run.

If you’re still uncertain of which deductible is best for you, call Comaltex Insurance Agency of New Braunfels at (830) 625-7511 or visit the website for additional information. 

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