High vs. low deductible, the logic behind both

 People mostly think of
deductibles in regards to their health insurance, however deductibles also
apply to car and homeowners insurance. Picking an amount depends on your
personal financial situation. Please consider what your budget can handle in
the event that you need to file a claim.

 The advantage of having a high
deductible is that you can have a lower premium payment. Many people pay for damages to their vehicles and
homes right out of pocket to avoid using their insurance.  These people are perfect candidates for
taking higher deductibles and saving money on their premium. On the other hand,
if you have a low deductible, you
will have a higher premium.  This
can make it easier on those on a tight budget when a claim needs to be filed.

 If your damages are less than
your deductible, it would make more financial sense for you to pay for the
damages. Standard deductibles are usually $500 or $1000.

Do you know what your deductible
is on your insurance policy?

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