Insurance without deductible: what does it mean?
When we talk about insurance without deductible, we mean an insurance policy that provides for total and unlimited coverage of damages : regardless of the extent of the accident and therefore of the damage, the insurance will cover everything, from the most important damages to the minor ones that you may have to pay out of pocket if you have insurance with a deductible.
It should be specified that in the case of insurance without a deductible, the insurance premium will certainly cost more motor insurance singapore
Deductible, overdraft and ceiling: differences
Deductible and overdraft are conceptually very similar: both of these two terms indicate the part of the damage – following an accident – which remains the responsibility of the owner of the insured vehicle.
The difference between the two items lies in the fact that the overdraft indicates the percentage of damage that is always borne by the insured, while – as we have seen – the deductible indicates the minimum amount that the insurance does not cover.
The main implication of this difference is that with the overdraft you will not know the amount you will have to pay out of pocket until the damages of the accident have been quantified, in contrast to what happens with the deductible.
WHAT IF MY POLICY PROVIDES BOTH FRANCHIGIA AND DISCOVERY?
In this case, when you have an accident you will have to pay the one which, between the two, provides for the higher amount: if, for example, you have a deductible of €300 and a 10% overdraft, in the event of an accident which provides for compensation of your part of €500, you will pay the €300 deductible, because the overdraft will be lower (€50, i.e. 10% of 500).
WHAT IS THE MAXIMUM?
When we speak of ceiling, however, we refer to the maximum amount that the insurance company is willing to pay to the insured. In the event of an accident with damages exceeding the ceiling, the insured is required to reimburse the rest of the amount to the insurance company.
Insurance with deductible and malus bonus
When you sign a contract with the insurance company, you can request that the RCA policy have only the deductible or combine it with the malus bonus mechanism , the system according to which you pay a lower insurance premium if you do not commit any accidents (bonus) or penalizes you with a higher reward (malus) if you commit them.
Insurance with a deductible makes it easier to maintain the CU:
In the event of a claim with minimal damage, i.e. with an amount to pay that falls within the amount envisaged by the deductible, you will not be penalized by 2 classes of merit (malus) as would normally occur in the event of a claim.