Deductible Rewards

American roads are getting more precarious every waking day. The National Highway Traffic Safety Administration (NHTSA) reported in 2013 that around 32,719 people died in crashes while over 2.3 million were injured.

 If you are a safe driver, it goes without saying that auto insurers would like to reward you, which is the thinking behind deductible rewards in these policies. These rewards are all over TV commercials, but like most things on the tube, they are fleeting and you never get to understand their basics.

Well, deductible rewards provided by most insurers give a specific dollar amount off your collision deductible on signing up. This amount ranges from $50 to $ 100 depending on an insurer. However, these rewards don’t end there as you will enjoy another deductible reward for every 6 months or 1 year if you are accident free.

To qualify for these auto insurance plans, you must have no moving traffic violations for a given period. Some insurers will take away all the credits you have accumulated if you are involved in an accident, while others will just reduce the deductible rewards. Depending on an insurer, the deductible reward can also be capped up to say $500.

Save money by choosing a package with a deductible reward. You will not have to worry about huge deductibles and you can, in fact, leverage these rewards to get the lowest premiums. Talk about having your cake and eating it too...