Jeff Gottesman - State Farm Insurance Agent
Shared publicly -How much can you save on auto insurance by raising your deductible?
That is a question that is often asked by people in the Philadelphia area that are looking for ways to save money on their auto insurance. The deductible is the amount pay out of pocket for an auto insurance claim before your coverage kicks in.
According to the National Association of Insurance Commissioners (NAIC), the average auto insurance premium is $841 per year.
A study by Quadrant Information Services examined the average cost of increasing an auto insurance deductible by looking at two percentage increases and their respective average savings. Here is what they found:
- Increasing the deductible from $500 to $1,000 resulted in a 9% savings (average $72 per year)
- Increasing the deductible from $500 to $2,000 resulted in a 15% savings (average $126 per year)
"Increasing your deductible as a way to save money only makes sense if you can afford the out-of-pocket money you’ll need should you have to file a claim," says Kevin Lynch, associate professor of insurance for American University. "If you don’t, it makes no sense to save $100 a year to only then get stuck with a $500 repair bill you can't afford."
The best thing you can do is discuss it with your auto insurance agent and choose a deductible that makes sense for you.
Visit my website for a free auto insurance quote and then give me a call: http://gplnk.co/2fXyZJO
#Philadelphia #auto #insurance #autoinsurance
That is a question that is often asked by people in the Philadelphia area that are looking for ways to save money on their auto insurance. The deductible is the amount pay out of pocket for an auto insurance claim before your coverage kicks in.
According to the National Association of Insurance Commissioners (NAIC), the average auto insurance premium is $841 per year.
A study by Quadrant Information Services examined the average cost of increasing an auto insurance deductible by looking at two percentage increases and their respective average savings. Here is what they found:
- Increasing the deductible from $500 to $1,000 resulted in a 9% savings (average $72 per year)
- Increasing the deductible from $500 to $2,000 resulted in a 15% savings (average $126 per year)
"Increasing your deductible as a way to save money only makes sense if you can afford the out-of-pocket money you’ll need should you have to file a claim," says Kevin Lynch, associate professor of insurance for American University. "If you don’t, it makes no sense to save $100 a year to only then get stuck with a $500 repair bill you can't afford."
The best thing you can do is discuss it with your auto insurance agent and choose a deductible that makes sense for you.
Visit my website for a free auto insurance quote and then give me a call: http://gplnk.co/2fXyZJO
#Philadelphia #auto #insurance #autoinsurance
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The best thing you can do is discuss it with your auto insurance agent and choose a deductible that makes sense for you.
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