Everyone in the soul is pragmatic. If it is possible not to spend an extra penny - we will do everything and even more so as not to spend it. If we scratched a car in a parking lot, we will be lazy to go around several instances, kill a lot of time to polish a scratch for nothing. It would seem that it’s much easier to immediately contact the service and quickly solve all the problems for your hard-earned money. But the green amphibian strangles - it’s much more fun to unwind the insurance for a couple of thousand. For a long time, Russian insurers calmly endured all the attempts of motorists on their profits. Meanwhile, in the West, the owner has long had practically no chance to insure his car without an obligation to take on part of the cost of repairs in the minimum agreed amount. This is called a "franchise." What kind of fruit is it and what does it eat with? Let's figure it out.
A deductible is the exemption of the insurer from the indemnification stipulated by the terms of the insurance contract for losses not exceeding a certain amount. Distinguish between unconditional (deductible) and conditional (non-deductible) franchise.
Consider the first, unconditional option for example, insurance of a new car worth, for example, $ 20 thousand. To pay for the "hijacking + damage" in this situation will cost about $ 2000. A lot. Especially at the stage of acquiring a car, when every ruble counts. And here the insurer offers you to purchase a policy with a franchise of $ 400. By the way, the deductible can be indicated not only in the form of a fixed amount, but also in percentage. In this case, a full hull will cost you less than a hundred dollars (each company offers its own franchise discounts), $ 1900. For the saved amount, you can buy something nice in the salon. Fine. But you have to pay for everything. Than?
We are talking about the same scratch on the bumper, that in the current situation with parking in the capital, the matter is ordinary. The presence of a franchise implies that if the amount of damage did not exceed $ 400, then you make repairs at your own expense. Running to a car service - and the thing five minutes done. But that is not all. If a car is seriously damaged in an accident, it will only be repaired by you in a service accredited by an insurance company, but the insurer will pay $ 400 less for repairs, and you will have to put out the missing amount from your pocket. But here the story does not end: if suddenly after some time you have an accident again, then this time you will again be forced to add your $ 400 to the amount of payments.
An interesting nuance: if the damage exceeded the deductible by a penny, let's say $ 30, the insurance company will pay you only $ 30. In this situation, a reasonable question arises: is it worth it to spend time and health on collecting documents because of 30 bucks?
Unfortunately, such a procedure is provided for in the policy with an unconditional franchise.
Another type of franchise is conditional. The convention is as follows: if the loss on the insured event did not exceed the size of the agreed deductible (our $ 400), then the insurer does not pay anything for such a loss. In the event that the loss is greater than this amount, then it is fully compensated. This is really interesting for the insured, it allows you to save, albeit a smaller amount, than in the case of an unconditional franchise. But, alas, our insurers rarely offer conditional deductibles today.
Who benefits from this?
According to statistics, the introduction of a franchise in the amount of, for example, $ 500 can reduce the number of insured events by about 40%. Leading insurance companies have already realized that this practice allows them to save good money, and therefore provide car owners who purchase franchised policies with discounts that can exceed, and even significantly, the amount of the franchise! For example, with motor hull insurance at Ingosstrakh, a $ 100 deductible provides a discount of 4 to 18%, $ 300 - from 10.5 to 42% and $ 1000 - from 25 to 70%. At AlfaStrakhovanie, when establishing a deductible from 50 to 300 dollars in insurance of property of citizens, they reduce the tariff from 2 to 10%.
In our case, with a franchise of $ 400, a motor hull policy can calmly turn out to be cheaper than usual by $ 500-600. A car owner who insured a car with a franchise and traveled a year without damage will save a significant amount! A franchise policy is most likely to be acquired by someone who, in addition to saving money, appreciates time as well (in some sense, money too), since in case of damage not exceeding the amount of the deductible, it makes no sense to contact an insurance company and obtain certificates, confirming damage to the car, spend time waiting for the traffic police crew and filling out the accident, at least in cases where there are no other participants in the accident.
But you can talk about the benefits of a franchise on paper as much as you like, but reality is completely different. Therefore, the HRS turned for comment to a specialist who deals with this insurance product on a daily basis. Our questions are answered by Dmitry Kuznetsov, Head of Division, ROSNO Motor Insurance Department.
- What is the franchise profitable for a motorist?
- A franchise is a real tool that allows you to save money when buying insurance. Its essence is that the insurer does not return money for minor damage, but the policy is much cheaper. Insurance with a franchise is advantageous first of all for a tidy driver: it is easier for him to take on insignificant expenses for replacing, say, a broken headlight or a torn rearview mirror - such troubles with careful driving are rare, and the savings when buying a policy are immediately visible.
- What preferences in this connection can he receive at ROSNO?
- Firstly, when buying a policy with a franchise, the policyholder saves a significant amount, in most cases the amount of savings exceeds the size of the franchise. Secondly, such a client receives additional services: departure of the emergency commissioner for road accidents, collecting certificates necessary to receive insurance compensation, additional opportunities for receiving payments without providing certificates from the competent authorities.
- What is the share of Casco policies with franchise policies, what is the future of this product?
- Unfortunately, today the share of policies with a franchise is very small, but there is every reason to believe (including the experience of Western colleagues) that after some time, policies with a franchise will be more in demand.
How to choose?