Question

Wind damage occurs to your car costing $800 to repair. If you have a $500 deductible for collision and full coverage for comprehensive, what portion of the claim will the insurance company pay

Answer 1

Answer: The insurance company will pay $300

Explanation:

Comprehensive insurance is a cover for any incidents other than collision. Comprehensive cover covers you (The Driver), Damages to your car and Third Party provided the driver with full Comprehensive cover is at fault. Damages to your car includes fire, winds, Theft, trees falling and damages your car etc. Anything that may happen your car is covered by Comprehensive Insurance cover. Collision Insurance Cover covers damages to your car and the car of the third party in case of an accident (collusion) provided the collusion was caused by the driver with the cover.

Deductible is the amount you would pay from your pocket when you claim. Example when your deductible is $3000 and the damages to your car are assessed to be at a cost of $7000, When you claim for damages  you will pay $3000 out of your pocket and the insurance company will pay $4000 which will make a grand total of $7000

The wind damaged the car and the cost to repair the car is assess to be $800. since the driver has a Collusion and full Coverage for comprehensive  with a Deductible of $500, The Driver will Pay $500 from his or her Pocket and The insurance company will pay $300  ($800 - $500)

Answer 2

Answer:

$300

Explanation:

Deductible referred to as the amount paid from one's pocket to join the amount of one's loss, while the insurance company balance up the remaining.

The loss which is $800 is a little bit more than deductibles.

Damage=$800

Deductibles=$500

The damages is just $300 more than deductibles.

As stated in the question there is a collision and comprehensive insurance for the driver , therefore the driver will pay $500 from his own pocket.

THE PORTION OF CLAIM THE INSURANCE COMPANY PAY =($800-$500)=$300

$300 will only be received from the company.

In Higher deductibles the premium insurance is reduced in cost.

In lower deductibles there is higher premium but with the cost from one's pocket is low.

Deductible has influence on

one's claim.

Comprehensive insurance is one of automobile insurance,it covers damages or event that occurs to a car that is out of one's control.It covers for replacement or repairment of one's car if damaged by something or to repair bit, other a collision.

Comprehensive insurance can cover up for

theft ,natural disasters or from fire incident.