What is a waiver of deductible insurance?

A waiver of deductible insurance is a type of insurance policy that allows the insured party to avoid paying their deductible in certain situations. A deductible is the amount of money the policyholder must pay out of pocket before the insurance policy starts covering expenses. With a waiver of deductible insurance, the policyholder can waive their obligation to pay the deductible and have the insurance company cover the full cost of the claim. This type of insurance is typically offered as an add-on to other insurance policies, such as auto or homeowners insurance. The policyholder can choose to purchase a waiver of deductible endorsement, which adds an additional premium to their policy. If the policyholder chooses to use the waiver of deductible, they will not be required to pay their deductible, but their insurance premium may increase in the future as a result. There are usually certain conditions that must be met in order to use the waiver of deductible. For example, if the policyholder is in an accident and the other driver is at fault, the other driver's insurance may cover the cost of the claim. In this case, the policyholder can use the waiver of deductible endorsement to avoid paying their own deductible. However, if the policyholder is at fault in the accident, they may still be required to pay their deductible. Overall, a waiver of deductible insurance can be a useful option for those who want to avoid paying their deductible in certain situations, but it is important to carefully review the terms and conditions of the policy before purchasing.