While your insurer covers the rest, you must pay a deductible when filing a claim with a standard car insurance policy. Zero-deductible car insurance is an option for policyholders who don’t care about higher premiums to ensure they’re fully covered in an auto accident without making any payment. So buying car insurance with zero-deductible will cost more because the insurer charges you higher fees to transfer more risk to them.
How Does Zero-Deductible Work?
Not all insurers offer zero-deductible car insurance. If you find a provider with a zero-deductible option, you will have great peace of mind because you won’t have to pay any amount upfront towards a covered claim. While you will pay a high insurance premium for this policy, you avoid unexpected expenses if you have an accident.
Insurance companies take care of all the troubles with zero-deductible, which is why policyholders pay more for these policies. Keep in mind that the zero-deductible option is only available for drivers with excellent drivers record and no history of claims. A perfect credit score is also a requirement for those seeking zero-deductible.
Is A Zero Deductible Right For You?
You must consider many factors to determine if zero-deductible car insurance is right for you. Discussing your options with an insurance agent is essential. Do not commit to an insurance plan based on price alone.