If you have a wreck in your RV, you might have to file a claim with your vehicle’s insurance provider. RV insurance will likely pay for quite a lot of the damage costs you sustain. However, it might not pay for everything. Some of the damage costs might be your responsibility. These are your policy deductibles. How do they work?
Many RV policies contain a variety of deductibles that apply to different claims. Yet, the good news is that other policy elements won’t contain deductibles at all.
What are deductibles?
Think of a deductible as your responsibility for vehicle damage. Within your policy, you will see a listed amount that you pay toward damages before the coverage will pay. So, when you file a claim, the insurer will determine the total cost of repairs. You will then pay the deductible costs. After you pay, the policy will cover the rest of the claim.
For example, you might have a $500 deductible. You have a wreck that causes $3,000 in vehicle damage to your car. You’ll pay the $500, and the insurer will pay the remaining $2,500. This is the simple formula of (Claim total) – (Your deductible cost) = (What the insurer pays).
One great thing about deductibles is that they can help you get lower rates. The higher your deductible, the more you might save on your premium. Remember though, you don’t want to increase the deductible to a level that you can’t afford to pay on your own.
The Deductibles on Your Policy
Many RV policies will include several deductibles. Usually, these will include:
- Collision deductibles: If you have a wreck, this coverage will pay for repairs to the vehicle. You’ll pay the deductible price for the repairs.
- Comprehensive deductibles: Damage to the RV from accidents like fires, theft, vandalism or weather, will need repairs. You will pay a deductible up front for the repairs.
- Uninsured/underinsured motorist coverage deductibles: If a driver without the appropriate liability insurance hits you, they might lack insurance to pay for your RV's damage. This coverage will help you pay for your own losses; however, you might have to pay a deductible.
Often, you will have to pay a deductible regardless of whether you total the RV, or if it just needs repairs.
Keep in mind, deductibles are not on all parts of your policy. For example, your liability coverage usually won’t contain one. So, you’ll be able to honor your obligations to other drivers should you have to pay them for their losses. Let your agent help you choose the right deductibles on your RV coverage.
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