Friday, October 10, 2008
Insurance Deductible - Watch Out
When i was buying an insurance policy for my auto, I underestimated the importance of the deductible. A deductible is the amount you are to pay before the provider covers the rest of the insurance. In other words, it is the part of the policy that is not insured. Of course, in search of the lowest pricing, I chose to make a minimum deductible, and only then I found out that my premiums were just hefty. The thing is, the larger the deductible amount, the less premium you pay. My insurance company did not inform me about this rule, thiugh they should have. Now I understand how much i could be saving now, had I not been so frugal.