 is coverage that is added to your car insurance policy. It does not stand alone; instead, it is an add-on){kind=link}
Sometimes, we don’t believe that accidents that occur are our fault. When accidents happen, we get covered by our collision coverage to make the payments for repairs to the vehicle. Most times, it can be inconvenient to pay for the collision deductible waiver out of pocket. Getting collision deductible waiver coverage added to your car insurance makes situations like this easier to handle. This waiver covers the payment of your deductible if you ever get involved in an accident. Unfortunately, this coverage is different in every state.
A collision deductible waiver (CDW) is coverage that is added to your car insurance policy. It does not stand alone; instead, it is an add-on to your insurance policy. This coverage is backing that handles your collision deductibles if you ever get involved in an accident with an uninsured motorist. However, it is unfortunately not accessible in every state or insurance company. Aside from these states, insurers can decide if they will provide this coverage or not.
How Does It Work?
How a collision deductible works and when it is applied to collision car insurance coverage depends on the insurance company. As mentioned earlier, this coverage is an add-on to your car insurance coverage. If you ever get into a collision with an uninsured driver, you will not be required to make an out-of-pocket payment for deductibles.
Getting a CDW can lessen your collision deductible cost. However, collision deductible waivers are only added to the collision part of your car insurance coverage. These parts of your collision coverage that your CDW is added to are damages to your vehicle anticipated by a collision with another vehicle, mailbox, or telephone.
When will a Collision Deductible Waiver not Apply?
Just as peace of mind is offered by the collision deductible waiver, it is advisable not to get too comfortable with it. This is because they only apply to accidents that occur with an at-fault, uninsured driver. If this is not the case or the reason for needing a CDW, you will not be covered by this car insurance add-on. Below are some other instances that are not covered by a collision deductible waiver.
If only one car is involved,
In cases where you crash into a fence or bang into a highway divider, you will not be covered under the collision deductible waiver. You will need to make the deductible payments out of pocket.
When the accident is no one’s fault:
In an instance where an accident occurs due to heavy rainfall causing a collision between you and the other driver, neither of you will be considered at fault. This is because both drivers couldn’t have been able to avoid the accident. In this case, you will not be covered by this coverage.
If you are partially at fault:
Guess you failed to obey the traffic instructions or you made a turn without being conscious, causing another driver to have a collision with you. In this case, you are partially at fault. In such cases, you will not be covered by CDW.
A hit-and-run accident:
A hit-and-run situation can be very annoying and, most times, a terrible experience. Unfortunately, this is also not covered under the collision deductible waiver coverage. Most drivers strive to declare a one-man accident a hit-and-run just to shake off the payments for a deductible. To prevent this, insurance companies waive the deductible only when the at-fault driver is present.
Should I Buy a Collision-Deductible Waiver?
A collision deductible waiver applies to a limited number of circumstances. This makes it quite difficult to identify when you will need to get a CDW added to your car insurance coverage. For someone who wants to have peace of mind, getting a CDW will be a good option. When the other driver is at fault after the occurrence of an accident, you will only spend a few dollars on repairs for damages. But in a case where an accident occurs with an uninsured driver, you will have to cover up the damages with your insurance coverage. Having a collision deductible waiver will be effective in covering your deductible.
Does a Collision-Deductible Waiver Cover Scratches?
After the occurrence of an accident, every damaged part of a car is covered under the collision deductible waiver. This, however, means that a certain amount of money is paid for the repairs of scratches or any other damages caused to your vehicle.