What is an insurance deductible?

As the owner of any insurance policy, you’ve no doubt come across the commonly used term ‘deductible.’ But how much do you understand about what the term means?

In simple terms, a deductible is the amount of money that you, the insured, must pay for a claim before your insurance will kick in.

If your insurance policy has a deductible, you will be responsible for any losses and/or payment of services up to a certain amount as stated in your insurance policy.

How is a deductible beneficial?

A deductible isn’t only beneficial to your insurance company, it’s beneficial to you as a policy holder, too! As a policy holder, it can be a way to lower the cost of your insurance: The more risk for loss that you agree to pay before your insurance kicks in, the lower the chance for your premium to be.

Look at it this way:  You are unfortunate enough to be in a car accident and your car’s damages are assessed at SCR15,000 in damages. If your insurance policy has a SCR5,000 deductible, you will have to pay the first SCR5,000 of the damages to your car out of your own pocket and your insurance will pay the remaining SCR10,000. Generally, once the deductible is met, any future losses that you might have during the term of that policy will be covered in full.

Talk to one of our insurance agent about what deductible options are available to you, and how they will affect the cost of your coverage. Call us on 429 5000 or send an email to info@sacos.sc and an officer will get back to you.

The importance of Life Insurance

Life insurance is without a doubt the best purchase you can ever make; this is especially true if you have people who depend on you, but is also just as vital for people without!

The first thing you need to do is get enough life insurance! Imagine what would happen if something were to happen to you and you left your family without the necessary protection. Here are some use you can put your insurance money to:

  • Pay Off Debts: A life insurance policy can pay off any debts that you leave behind that would be a burden to your family. Debts such as a mortgage, credit cards, car loans and even your funeral expenses can have a dramatic impact on your family and their lifestyle.
  • Provide for Your Kids: A life insurance policy will ensure that your children can go to college, buy a home and even pay for their wedding if you die unexpectedly.
  • Peace of Mind: A term life insurance policy is an inexpensive way to give you and your family members peace of mind, knowing that they will be protected if something happens to you. You will no longer have to worry about their financial future and can rest easy knowing they will be able to continue their current lifestyle.
  • Protect Your Business: Regardless of whether you are using a life insurance policy to insure a key employee, fund a buy/sell agreement or simply provide a tax-free cash infusion (borrowing against the cash value of a permanent policy), life insurance can be a major asset to your business.

Have any questions? Simply pay us a visit at our branches (Maison Esplanade – Victoria, Pension Complex –Baie St. Anne Praslin, Green Corner –Providence)  or call us on 429 5000 or send an email to info@sacos.sc.