CASCO insurance with a deductible is becoming increasingly popular among Russians due to the opportunity to save significantly. But insurance agents are not always able to explain the essence of this proposal. in simple words, and as a result, many car owners prefer to pay the full cost of insurance without understanding what they were offered.

The fact that the franchise comes from the world of business itself creates an aura of mystery around the concept. And talk that it can be either profitable or not very profitable only adds fuel to the fire. Let's try to understand all the intricacies of this proposal in order to find out whether this insurance service is still needed or whether you can do without it.

What is a deductible in insurance?

IN entrepreneurial activity a franchise is inextricably linked with obtaining certain benefits for a certain fee or a set of reciprocal services. If we talk about insurance, here the deductible determines the degree of participation of the policyholder in the risk that falls on the shoulders of the insurer.

In simple words, the deductible in CASCO insurance is the part of the damage that the car owner pays independently upon the occurrence of an insured event.

In exchange for this, the citizen receives a discount on the purchase of a CASCO insurance policy, the size of which can be quite significant. The amount of the discount will depend on the degree of risk assumed by the policyholder.

The franchise amount must be specified in the contract and can be expressed either as a percentage or as a fixed amount. The average value of this indicator is 10% of the amount of insurance compensation. That is, if the total amount of damage is estimated at 80 thousand rubles, then the policyholder will receive only 72 thousand as compensation. This is a general illustration of such contractual relationships, and the practical settlement of a specific insured event will depend on the type of deductible itself.

Franchise options for CASCO insurance

When concluding CASCO insurance contracts, several types of franchising are most widespread. Each of them has its own characteristics, which determine the appropriateness of its use in each specific case. Let's consider these options in more detail.

Conditional franchise

This option is based on a fixed amount of damage, within which the car owner independently carries out repairs without resorting to the help of an insurance company. If the amount of damage is above the established threshold, then the insurer fully pays for the repair of the car. In this case, the policyholder's financial participation is not expected.

As an example, consider a CASCO policy with a conditional deductible of 10 thousand rubles. If, upon the occurrence of an insured event, the damage to the car totals 7 thousand rubles, then the restoration of the iron friend falls entirely on the shoulders of the owner. If the expert’s conclusion indicates a different amount, for example, 15 thousand rubles, then the entire cost of repairs will be paid by the insurance company.

Despite the fact that this insurance model is interesting for both parties, in practice it is quite rare. This is due to the insurer’s fears of becoming a victim of fraud on the part of the car owner. In order to get rid of expenses, unscrupulous insurers can deliberately increase the scale of damage, bringing the amount of damage to the required values. Therefore, not every insurance company risks being associated with a conditional type of deductible.

Unconditional franchise

A distinctive feature of this option is the mandatory participation of the car owner in the process of restoring the car after the occurrence of an insured event. In this case, the degree of participation can be expressed either as a percentage or as a fixed amount.

For example, an unconditional CASCO deductible in the amount of 5 thousand rubles means payment of damage within this amount at the expense of the policyholder upon the occurrence of each insured event. That is, if the damage to the vehicle amounted to 4 thousand rubles, then the restoration of the car is carried out from the owner’s pocket. Let's assume that the damage estimate exceeds the franchise amount and amounts to 20 thousand rubles. Then the insurer pays the full amount of repairs minus 5 thousand, that is, the victim receives 15 thousand.

If the amount of the unconditional CASCO deductible is determined as a percentage, then the policyholder pays for the damage within the established share. So, when assessing damage at 40 thousand rubles, a 10% deductible involves paying 36 thousand at the expense of the insurance company and 4 thousand from the pocket of the car owner. The same will happen with minor repairs. For example, damage of 7 thousand rubles will be compensated by the insurer in the amount of 6,300 rubles. The remaining 700 rubles are paid by the policyholder. Here, the amount of payment is no longer decisive, since in any case, both parties to the contract participate in the restoration of the car.

Temporary franchise

You can also save on purchasing CASCO insurance with the help of a temporary franchise. It provides for insurance to be valid only for a predetermined period. For example, if the vehicle is used exclusively on weekdays, then there is no point in insuring it on weekends. A policy with a temporary deductible will cost less, but the insurance will not work during weekends. That is, damage received during non-working hours is not subject to compensation. In addition to the above example, there may be other options related to seasonality and other time criteria.

Dynamic franchise

For those who are confident in their driving skills, a dynamic franchise may be a good option. It takes into account the history of insurance payments and links the amount of insurance to their number. Thus, the maximum amount of compensation is paid for the first insured event, and a regressive scale is applied to subsequent episodes. That is, each subsequent request will be paid in a smaller amount relative to the previous one. As a rule, the reduction rate is about 5% for each insured event.

Along with the options listed, CASCO may also include other types of franchises. Everything will depend on the specific conditions, in exchange for which the insurance company is willing to provide a discount. In Russia, the most widespread option is with an unconditional franchise.

CASCO insurance with deductible: pros and cons

Before using an insurance product in practice, it is necessary to evaluate its advantages and disadvantages. In our case, there are both. It’s customary to start with the good, so let’s first consider the advantages of an insurance franchise:

• Tangible savings when purchasing a policy. As a rule, its cost is inversely proportional to the size of the franchise. The greater the policyholder's participation in the risk, the cheaper the insurance.
• No need to contact insurance company and record the occurrence of an insured event with a small amount of damage. The amount of compensation for such episodes often does not justify the time spent on their processing. In addition, the car owner can immediately begin repairs without waiting for the procedure to be completed.
• Thanks to the established threshold, minor damage to the car does not appear in the policyholder’s history, allowing it to remain impeccable. And this, in turn, leads to even more significant bonuses and discounts from the insurance company.

If we talk about the disadvantages of CASCO insurance with a franchise, we can highlight the following points:

• Difficulties with credit cars. Typically, insurance costs are borne by the borrower, so the presence or absence of a discount is indifferent to the lender. But the credit institution, on the contrary, is very interested in preserving the value of the collateral property. At the same time, there are no guarantees that the borrower will restore the car at his own expense. Therefore, banks, as a rule, do not consider insurance options with a franchise.
• There is a danger of the insurer underestimating the amount of damage in order to evade payment of insurance. Insurance company experts can assess the damage so that the total amount does not exceed the established threshold. Similar manipulations take place with a fixed franchise size.

In what cases is it profitable to issue CASCO insurance with a franchise?

It’s not hard to guess what the insurance company’s interest is in selling insurance with a franchise: by freeing itself from small payments, the insurer saves resources. It is no secret that processing such applications does not justify itself financially. Assessment, investigation and other support of minor insurance episodes consume resources that often exceed the cost of the damage itself. Therefore, it is more profitable for insurance companies to shift minor damage to the car onto the shoulders of the client in exchange for a discount on insurance.

However, this option is not always beneficial to the car owner. When assessing the feasibility of insurance with a deductible great importance will have driving experience, the purpose of insurance, the mode of use of the vehicle and the terms of the contract themselves. Each specific case requires careful study by the car owner. However, there are several general recommendations, allowing you to determine the need to connect this service.

When is CASCO insurance with a deductible beneficial?

• With significant accident-free driving experience. When the likelihood of an accident is extremely low, there is no point in overpaying for insurance. In addition, insurance companies are interested in problem-free clients and try to retain them with all kinds of bonuses and discounts.
• When the main purpose of purchasing a CASCO policy is theft insurance. In this case, the deductible will help to significantly save on the cost of insurance.
• If the amount of the discount on the policy exceeds the amount of the deductible.
• If you have available funds sufficient to independently repair minor damage. For those whose time is valuable, insurance with a deductible is an ideal option.
• If the driver is interested in maintaining an accident-free record. Minor accidents can significantly worsen this indicator and negatively affect the cost of future insurance.

It is not recommended for novice drivers to be tempted by a franchise. It is believed that the likelihood of getting into minor accidents in the first two years of driving is very high. The same applies to other drivers who receive 2 or more insurance claims annually - for them, insurance with a deductible will also be unprofitable.

Let's sum it up

Summarizing the above, it can be noted that the franchise is great way save on CASCO insurance for experienced drivers with an impressive accident-free driving record. Of course, no one is insured against accidents, so when buying a policy with a deductible, you need to be prepared to make minor repairs on your own. But if troubles pass by, you get undeniable benefits in the form of a significant discount on insurance, while maintaining protection from large expenses.

And in addition to the above, we suggest watching a video about the features of purchasing CASCO policies with a deductible.

Greetings, dear readers! Ruslan Miftakhov is with you. In our unsafe times, most citizens strive to protect their property. Insurance with a deductible is now gaining popularity, and perhaps not everyone understands what this means.

Franchise in insurance, what is it, what advantages does it provide, its types, as well as examples of its application - we will look at all this today.

Any insurance contract contains a number of conditions, one of which is a deductible. In simple words, this is the amount established by agreement of the parties to the contract, for which the insurance company is not liable in the event of an insured event.

That is, this amount is not refundable to the policyholder. This can be either a certain fixed amount or a percentage of the cost of insurance.

A franchise is chosen in order to:

• save money when taking out an insurance policy;
• Minimum contact with the insurer for minor damage to property.

The larger its size, the lower the cost of insurance will be, and vice versa.

Its varieties

The deductible is always deducted from the amount of damage, or under certain circumstances, depending on its type.

So, let's look at them in detail:

1. Conditional– means that if the damage caused to property is less than or equal to the established amount, then there will be no insurance payments for this case at all, and if the damage exceeds it, then payments will be made in full, without deducting certain amounts.

Let's give a simple example: before the contract, the established franchise amount is 20 thousand rubles, and if the damage to the car after an accident is equal to 20 thousand rubles or less, the company will not pay anything to its client. And if the loss is even 20,005 rubles, then the insurer will pay it in full.

This type is beneficial for drivers with good driving experience who rarely get into various accidents, as well as for those who want to save money when taking out insurance.

2. Unconditional– the most popular, it is always subtracted from the amount of damage received.

Let's give an example: it is again set at 20 thousand. If the damage is up to 20 thousand rubles, there will be no compensation; if it is 21 thousand, then 21-20 = 1 thousand rubles, and if 55, then 55-20 = 30 thousand rubles.

This type will be beneficial to clients who insure expensive cars, and want to save on registration of CASCO, as well as for those who do not want to waste time when processing minor road accidents.

This is the deductible that is used to insure tourists who want to pay less and hope that nothing will happen to them.

Tourists need to remember that by purchasing insurance in this way, they receive a kind of deposit, to activate which they will need to pay an additional predetermined amount of money - in many companies it is about $30, and after that they can count on full coverage of the costs incurred.

By the way, if you are planning a vacation abroad, I advise you to choose insurance using this service, which cooperates with such companies as: AlfaStrakhovanie, Euroins, VTB Insurance, ERV, Absolut, Renaissance, Ingosstrakh, URALSIB, Liberty, Arsenal, MAX, Tinkoff, Intouch Insurance, Tripinsurance.

3. Temporary– valid for a certain period. If an insured event occurs within this period, the client will not receive any payments. Compensation is also expected only for a certain period of time.

This type will be beneficial in the case when, for example, the car is not planned to be used in winter. And when concluding a medical insurance policy, the patient will not be able to receive the expected assistance if the illness occurs before a certain time, which is not entirely profitable.

4. Dynamic– implies the possibility of changing payments (its value). For example, it can only be applied from the second or third insured event.

This type is considered promising, as it allows the policyholder to receive the full cost of damage in the first incident.

5. High– is very rare, and is used only in large insurance contracts, and implies its validity for amounts exceeding 100 thousand dollars.

6. Preferential– deduction of the amount does not apply under certain preferential circumstances (for example, if a third party is to blame for the accident).

7. Regressive– involves payment of the full amount of damage received, after which the client will pay the agreed amount to the insurance company.

Features in car insurance

Now let's take a closer look at the deductible for car insurance.

Car owners are faced with this concept when registering CASCO and OSAGO insurance (a compulsory type of insurance that covers losses incurred by third parties).

CASCO insurance is issued additionally (although, for example, when taking out a car loan, such a policy is required), which covers damage that a personal car may receive - in the event of an accident, theft, vandalism.

Since the cost of issuing CASCO is quite high, most car owners choose an insurance policy with a deductible, when determining the size of which they pay attention to the fact that the higher it is, the cheaper the cost of the policy will be.

Therefore, this condition allows you to legally save on car insurance, and not contact the insurance company in case of minor accidents (since it will be much faster to deal with a small scratch yourself than to contact the insurer).

It will be unprofitable to issue a policy in this way only if its owner contacts the insurer several times a year regarding risks.

According to expert calculations, insurance with such a condition is profitable when the amount of the agreed amount exceeds the minimum loss that the car owner can bear. Depending on the capabilities of the policyholder, it should range from 5 to 20-30 thousand rubles.

And so, now you know what a franchise is, what advantages it provides, its types, and how it is applied in practice.

I think this is useful information that is really worth knowing in this day and age. On our website you can also find many other useful information, so come visit us and tell your friends about us!

Ruslan Miftakhov was with you, good luck to you, friends!

This is a way to save money on comprehensive insurance, which works very simply: if an insured event occurs, the insurance company will deduct the amount of deductible you have chosen from the payment amount. It turns out that if in an insured event the damage amounts to, for example, 100,000 rubles, then the insurance company will deduct the deductible from this amount and pay the rest as compensation. So, with a franchise of 10,000 rubles, the amount of payment in this case will be 90,000 rubles.

Franchise size and benefits.

You can choose an acceptable franchise from 10,000 to 75,000 rubles. The size of the deductible only affects the cost of your insurance: the higher the deductible, the cheaper the insurance. If you choose the maximum deductible, then comprehensive insurance will cost more than twice as much. So, a franchise is a good way to save money!

For example, comprehensive insurance for a Mitsubishi Outlander ASX (2015, worth 1,030,620 rubles) with a driver aged 36 years and 7 years of driving experience costs 77,386 rubles, and with a maximum deductible it is 56% cheaper - 34,298 rubles.

For careful drivers

According to statistics, 75% of our clients have no more than one insured event per year. Because extensive experience or simply careful driving reduces the likelihood of an accident to almost a minimum. For such drivers, comprehensive insurance is needed, rather, as a last resort. And if you are confident in yourself, then the standard franchise (“Unconditional”) is for you - the best option savings on insurance.

For example, comprehensive insurance for a Nissan Juke (2014, worth 780,800 rubles) with a driver aged 38 years and 15 years of experience costs 40,645 rubles, and with a deductible of 20,000 - only 22,391 rubles.

Confident drivers

If you want to save on the cost of comprehensive insurance and are confident in your experience and driving skills, but are not confident in the actions of other drivers, we can recommend the culprit franchise. This deductible only applies if the incident was your fault or the culprit has not been identified. In other cases, the deductible does not apply.

For example, if the other party is at fault in the accident, your car will be completely repaired and you will not have to pay the deductible amount. And if the car is damaged by unknown persons, for example, while parked, then the repairs will also be carried out in full, but you will need to pay the deductible amount.

For inexperienced drivers

If you are not yet confident in your experience and you need insurance, but also want to save money, then we can offer an option where we fully reimburse your first insured event, and the second and subsequent ones minus the deductible. The “From the Second Case” franchise will provide you with the necessary protection and help you save on insurance.

How to buy insurance with a deductible?

When calculating insurance, simply select one of the deductible options that suit you:

• standard franchise (“unconditional”);
• culprit's deductible;
• deductible from the second case (offered only for insurance in our offices, dealer showrooms or agents).

and determine the size acceptable to you from 10,000 to 75,000 rubles.

Note! You cannot buy insurance with a deductible for a car purchased on credit or for which the loan is still being paid off.

What to do in case of an insured event?

Insurance with a deductible is no different from regular insurance. Therefore, you simply contact us with an insurance claim. After making a decision on compensation for damage, we will repair your car, and you will pay the deductible amount to our cash desk or the technical center cash desk.

Insurance is an integral part of every person's life. modern society. We strive to insure our property, our lives and those of loved ones as profitably as possible. Insurance can be compulsory or voluntary.

Every person who encounters this topic for the first time immediately has many questions: which company is best to contact? What type of insurance to choose? For how long? In order to make the right decision for yourself, you should get at least a basic understanding of what the insurance system is, how it works and what the benefits of using it are.

The concept of insurance is inextricably linked with such a term as deductible, which is that part of the insured's damage that is not subject to compensation by the insurance company in the event of an insured event. The policyholder voluntarily chooses insurance for himself with or without a franchise, and also independently determines its size and type. The franchise amount can be set in a fixed form, or as a percentage of the total

In practice, there is an unconditional and conditional franchise. The latter provides for the payment of funds by the insurance company only if the damage caused exceeds the amount specified at the conclusion. For example, you decided on one hundred thousand rubles and chose a conditional franchise in the amount of 20 thousand rubles. If in the event of an accident the damage caused to the car is less than the specified amount, i.e. smaller size deductible, insurance payment will not be made.

An unconditional deductible in insurance is a part of the damage caused as a result of an insured event that is not subject to compensation by the insurer. For example, you also insured your car for 100 thousand rubles, and chose the type of unconditional franchise in the amount of 20 thousand rubles. In the event of an accident in the amount of up to 20 thousand rubles, payment of funds will not be made. If the amount of damage caused is, for example, 21 thousand rubles, the insurance company will pay you an amount of 1 thousand rubles. An unconditional deductible applies, as a rule, regardless of the amount of damage caused.

At first glance, this payment system may seem very unprofitable. In fact, an unconditional franchise gives careful drivers who rarely get into minor road accidents a good opportunity to save on purchasing insurance. The deductible is beneficial not only to the insurer, but also to the insurance company, since it allows a significant reduction in many claims due to a decrease in the number of claims.

Of course, everyone decides for themselves which type to choose. An unconditional franchise is more profitable for novice drivers with little driving experience, since, according to statistics, they are the ones who most often get into minor traffic accidents.

It should be noted that the insurance franchise is not particularly popular in our country, since most citizens simply do not understand the meaning of this term and all the benefits of its use. In addition, it is very difficult for Russians to come to terms with the idea that in some cases, even after paying, they will have to carry out car repairs at their own expense. IN foreign countries an unconditional deductible in insurance, on the contrary, is quite popular because it allows you to significantly save your budget and maintain the status of a so-called break-even client even in the event of a minor accident.

When taking out a policy, insurance companies can offer not only insurance, but also a deductible. The latter is an opportunity to save money and time by taking on additional responsibilities. Franchise insurance has been operating on the market for many years. What this is can be explained in simple words to every driver.

Complicating the situation is the variety of franchises, each of which offers unique conditions and imposes certain obligations. To avoid getting into an awkward situation with an insurance company, it is recommended that you familiarize yourself with possible options, their strengths and weaknesses.

The legislative framework

The franchise first appeared in Russia at the official level in 2014, when the law “On the organization of insurance business in the Russian Federation” was adopted. Until this point, the franchise was used, but the rules and conditions were regulated by the insurers independently.

In 2019, all companies are subject to federal law, the rules for providing services are unified and transparent. Part of the losses is reimbursed by the policyholder in accordance with the contract.

What is it in simple words

The franchise quickly became popular among insurers, but not all drivers are aware of this opportunity. Getting insurance with a deductible is a way to save money.

The deductible is considered part of the insurance payment, which the driver voluntarily renounces upon the occurrence of an insured event.

At the stage of signing the contract and discussing the terms, the insurer and the policyholder agree on the amount of damage. It can be either fixed in monetary terms or as a percentage.

To understand the operation of a franchise, you can imagine a simple situation. Suppose a citizen has a car worth 600 thousand rubles. He decided to protect his property and chose a deductible for CASCO insurance, becoming a client of the company and setting the non-refundable amount to 30 thousand rubles.

If a citizen gets into an accident and the car is damaged for an amount less than the specified amount, the driver will compensate for the damage from his own funds. If the damage exceeds the amount, it will be compensated by the insurance company.

If after an accident you need 90 thousand for damages, the driver will pay 30 thousand, the rest will remain with the insurance company.

Kinds

There are more than 10 deductibles, but not all are used for car insurance. The most popular among insurers are:

The main difference between a zero franchise is high price CASCO policy, since insurers protect themselves from risks.

The downside is that each time you need to collect a full set of documents and undergo an examination, even if there is a small scratch on the car that costs a couple of thousand rubles to repair. This deductible is the least popular, since the main benefit is received by insurers, not their clients.

Conditions

There are several situations when it is profitable to open CASCO insurance with a franchise:

• the citizen is an experienced driver and rarely gets into accidents;
• a citizen is able to independently compensate for minor damage and does not want to collect documents in case of minor accidents;
• the driver is interested in the low cost of compulsory motor liability insurance, especially if the main risks are theft and theft, and not damage to property, life or health.

Unconditional

The unconditional franchise is the most popular in Russia. It is beneficial for the company to set the amount that the client will pay. This helps to avoid bureaucratic problems when small insurance claims occur.

Here are some examples:

• The cost of the franchise is 20 thousand rubles, the car suffered 17 thousand rubles. The owner pays for repairs out of his own pocket;
• The cost of the franchise is 20 thousand rubles, the car suffered 40 thousand rubles. The insurer will contribute 20 thousand rubles, the balance will remain with the policyholder.

You can set a certain percentage of the damage incurred. For example, the deductible is 20%. If the car was damaged for 10 thousand rubles, the insurance company will contribute 8,000 rubles, and the driver will pay 2,000.

Advantages and disadvantages

CASCO insurance with a franchise has many strengths, the main ones include:

• significant time savings. If minor damage was caused, there is no need to contact the insurance company. If an insured event occurs, you will have to take a certificate from the traffic police about the accident and the absence of initiation of a case, find time to undergo an independent examination (paid for by the driver), and fill out applications. Busy citizens are not ready to spend several days each time filling out accidents;
• discount when receiving a policy. When a deductible is added to the contract, the insurance amount is reduced. The insurer is better protected from risks, so it can offer a discount. The more obligations a citizen undertakes, the lower the cost of CASCO will be;
• when renewing the contract with the same insurer, you can get a discount. If a citizen has not had an accident for a whole year, he will issue a new policy at a discount. The longer there are no accidents, the greater the discount will be;
• opportunity to save money. No additional investment for repairs is required; the insurance company is responsible for major damage.

The franchise also has its downsides. The main disadvantage is the disadvantage for citizens who often get into minor accidents. They will have to spend money on repairing minor damage, and with an unconditional deductible the amount can reach up to 100 thousand rubles.

When choosing a franchise, you need to pay attention to the insurer. Most offer unconditional franchises, other types are available in big cities countries. It is recommended to read customer reviews and ratings from independent agencies in order to conclude the most favorable contract.