Does Liability Insurance Have a Deductible?

Car insurance can be a complex and aggravating issue that leaves you staring at the fine print and wondering what hit you. Even trying to read through your policy without an insurance dictionary in one hand and an experienced insurance professional/interpreter in your other can make less sense than trying to sound out Ancient Hebrew-and that's a dead language! With that in mind, it's no wonder that many people don't really understand the details of their liability insurance and their deductible.
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A deductible is an amount of money you pay when an accident takes place to take part of the payment off of your insurance company's hands and to assume part of the responsibility for your actions. Higher deductibles will usually give you a lower annual premium, so many people prefer to set their deductible above their insurer's minimum limits. When it comes to liability insurance, however, the rules tend to change a little bit.
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Comprehensive and collision car insurance are always going to have a deductible, since your insurance company is providing you with what the state considers to be an extraneous service. It's a "perk" of your insurance coverage. Since liability insurance is "required" some insurers won't charge you a deductible when they pay a claim. (They will, however, quite gleefully continue to take their pound of flesh by raising your premiums!)
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The most important thing you can do to keep tabs on your car insurance is to read your policy, front to back, every year when it's renewed. It's tempting to let that step slide because trying to make sense out of an insurance policy is a migraine waiting to happen. Especially when that policy is printed on enough paper to sink the Titanic, as many seem to be these days! Knowing the details of your car insurance coverage, particularly your liability insurance, is vital, however. Not only does it make sure you're never left wondering if and how your repairs are going to be handled but also because it explains the details about, when, how and how much with regard to your deductible.
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Saying that liability insurance never has a deductible would be a lie. Some insurance companies will charge you a low deductible for your liability insurance, especially if you're considered to be a high risk driver. Many more will give you the option of tacking a deductible onto your liability coverage to lower your annual premiums when you buy your policy.
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It's important to know what the details are on your liability insurance before you get in an accident and discover a few nasty surprises hiding behind your claim.

Anthony Peck is the Senior Developer, Software Project Manager, and Director of Business Development for QuoteScout.com. For more information about filing a car insurance claim, visit them on the web at http://www.QuoteScout.com