How Does An Auto Insurance Deductible Work? 
A deductible is your portion you pay for a claim . Example if you have comprehensive coverage which is deer hail tree and window type of damage if you have a $ 100 deductible then anything over the $ 100 the insurance company will pay . In our state with most carriers the difference between a $ 100 deductible and a $ 500 deductible is only about $ 3 difference a month and most glass shops waive the deductible and rock chips are free . Your NOT saving any money in the even of a higher deductible unless you just happen to have $ 500 handy in the even of a loss . Also Many carriers it does not effect your rates on a comprehensive claim . Now collision deductible $ 500 is the standard so if you cause the accident your responsible for the first $ 500 worth of damage . Example you back into a tree and cause a $ 1000 worth of damage to your car then the insurance company will hand you a check for $ 500 As stated a above by MR. Ratliff a `` good Agent '' wo n't report it I beg to differ Reporting it will NOT raise your rates as much as it would cost to repair it less your deductible . this may be the case in other states but here in Montana this is in most cases it is better to file the claim then pay for it yourself . A HONEST agent will discuss your options on what works best for you and a dedicated agent like our agency has who personally answer the phone 24/7 will tell you what it may or may not do to your rates . In any event contact your agent and they should be able to tell you what works best for you . Also the deductible applies in the event you are hit by someone who has no insurance . So if you are a victim of a hit and run your deductible will apply also . Every state has different laws and rate factors . Sit down and have your agent discuss what works best for YOU ! If you already are on a tight budget and in the event of a loss that higher deductible may not be in your best interest . Many Body shops are willing to work a pay plan on the deductible portion but it is much easier to pay $ 500 then a $ 1000 . Talk to your agent 