What do you mean, you don't have $1,000 in your back pocket?
Let's face it. The economy is pathetic right now, and it's not
going to improve overnight. All of us are now faced with the likelihood
of decreased income, at the same time as increased expenses; as if these aren't
bad enough, now we live with the threat of a new sales tax on labor ... Let's
just hope it doesn't actually happen. Because budgets are so tight for
everyone, planning ahead for unexpected costs is more important that ever. A
fairly common problem we see quite frequently is people not having enough money
to pay their deductible, and so they are forced to continue to drive unsafe
vehicles until they somehow come up with the money they need. One reason
why this is such a problem is that competition in the insurance industry is so
fierce, that anyone selling policies will most likely give the consumer a
quote, based upon the highest possible deductible amount; this creates the
illusion of a substantial savings in your best interest, when in reality, you
are simply agreeing to pay a higher percentage of the repair costs, in the
event of a collision.
Think about this: The average repair cost, according to national statistics, is $2,000.00. If you have a $1,000.00 deductible, you are paying 50% of the repair cost! That's great for the insurance provider, but bad for you; ask yourself, how many of us actually have an extra $1,000.00 or even $500.00, just sitting in our back pockets? I know I don't. Even though it seems like a good idea to save a little money over the course of a year, by paying a higher deductible, that idea usually proves to be very painful when you unexpectedly have to use your collision insurance; it's far less painful to pay between $20.00 and $40.00 extra per month, over the course of a year. I recommend calling your agent to have your annual cost recalculated, with a lower deductible amount.
Aaron Cooper
Director of Marketing
Sonshine Auto Body
(760) 243-3185
Think about this: The average repair cost, according to national statistics, is $2,000.00. If you have a $1,000.00 deductible, you are paying 50% of the repair cost! That's great for the insurance provider, but bad for you; ask yourself, how many of us actually have an extra $1,000.00 or even $500.00, just sitting in our back pockets? I know I don't. Even though it seems like a good idea to save a little money over the course of a year, by paying a higher deductible, that idea usually proves to be very painful when you unexpectedly have to use your collision insurance; it's far less painful to pay between $20.00 and $40.00 extra per month, over the course of a year. I recommend calling your agent to have your annual cost recalculated, with a lower deductible amount.
Aaron Cooper
Director of Marketing
Sonshine Auto Body
(760) 243-3185
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