Ok, in preparation to my expected upcoming purchase of a new to me, 2019 S 63. I’m curious what deductible you have with your required insurance for your S Class? Yes, I know it’s an individual thing, but I was wondering since these cars cost so much to repair - if you cover your S Class differently?

Rich

 

Congrats! No difference in insurance.

 

Budget-wise, self insurance is always the cheapest.

 

You have to have pretty deep pockets to insure yourself against the liability of driving a car...

 

When you say 'required insurance' are you thinking of liability?

 

Missed the thing about the deductibles, mine are $1,000.

 

Insurance or warranty? This is interesting. I've never considered my deductibles in relation to potential repair costs since they aren't neccesarily related by incident.

 

Deductible just affects your premiums. Lower deductible, higher premium. Most banks will allow a max of $500 for deductibles.

 

Right about the relationship of deductible to premium. ".......but I was wondering since these cars cost so much to repair - if you cover your S Class differently?" The OP asked about deductible in relation to the cost of repairs. That's where I'm confused. When I think of repairs, I think of non accident related repairs. But maybe he's asking because the cost to repair the car in an accident drives up the baseline cost for comprehensive insurance, so therefore asking if you go with a higher deductible to offset the higher premium cost. Sorry it took me a while to figure this out.

If I understand you correctly, my insurance only increasd around $20/month when going from S550 to S63 so I kept everything else the same. EV's and hybrids are just as costly, if not more costly, to fix. So I think we'll all have to adjust to higher premiums for our cars...just like homeowner's insurance.

 

I was just wondering since the smallest accident can cost thousands more on a expensive S class. I saw a bill from a friend’s 2016 550 when backed into at a shopping mall parking lot. To R&R the rear bumper cover and crush material underneath (paint included). The bill was $11,630A year later the same thing happened with his Chevy Trax SUV and it was $4200 with re spray. I’m tired and not explaining this right - I’ll just do some math with the insurance premium at a $2,000 deductible and the difference with $500 and see what that amounts to if one accident happens.
I think it’s time to shop around for what other companies charge.

 

Yeah, very expensive to repair and to insure! I'm paying about 50 cents a mile for insurance, despite $1,000 deductibles, no accidents, claims, tickets, etc. That's more than gas, maintenance and repairs, second only to depreciation.

 

Definitely shop. I'm at $1800/year for the S63, and I hate that I'm paying that much, roughly $25 cents/mile annualized. Find yourself a good broker, not a captive agent, and have them shop for you. If you call Geico they will hound you for weeks, just like the auto transport people.

 

COllision is about 50% of the posted Car insurance bill.

SO car has expensive BODY SHOP and my guess is the ACV is well above most state minimum insurance polisy limits.
So a minor wreck will end up costing them money due to other party under insured.
Time to call the TV personal injury/car wreck lawyers.

State minimums are too low today with the average price of a car well over ther policy minimums I think state average is around 20k/40k or maybe as high as 25K/50K.

 

I've never had a bank care about my deductible or even ask what it is.

 

This is just like a wedding I attended some time ago. This guy finds this drop-dead, gorgeous woman days after college graduation and declares her Queen of the Universe. I begged him to slow his roll, but noooooo, he had to agree with having a big wedding costing over $170,000, and $80,000 + honeymoon!
I strongly suggested putting the money towards a nice house (for reasons we know better) and they can get creative with an intimate wedding and a great cruise. She never was a happy bride so 4 years later it was an uncontested divorce - everything divided and gone. However they feed more than 100 people with nothing held back. Everyone went home grabbing take home cake and loads of the best flowers! The guests had their best single day ever!
My friend paid an initial high price and he kept paying out more and more until finally it just wasn’t worth it anymore. See the comparison?

 

Oh I have, I bought a Accord Touring last October and used a $2,000 deductible. My credit union sent notice they wanted a $500 deductible a week later.

 

I've never heard of such a thing...

Here's the question, what if you said no? What would your CU do?

 

Reading the loan contract they can call the loan due. IMHO the CU should have made that a requirement before I left the dealer. My guess is the bank doesn’t want me to stop paying on the loan if I get into an accident and can’t afford the $2,000. This is the same CU that encourages me to purchase my extended warranty through them but they don’t have coverage for a MB AMG S63.

 

Pretty much all lenders require comprehensive insurance on your car prior to providing the loan, or they give you up to 10 days to acquire the policy. If you don't they will rescind the loan and ask for their money back. In some cases the money is held in escrow until all conditions are met. I have a friend who got a Camaro pulled back around 10 years ago for this reason. Certian lenders have different criteria for coverage, I've had a max deductible placed ona a loan several years ago, but not that I can remember lately.

 

Sure, they always require the policy but I have never had a lender have any issue with my deductibles. If they did though I would just change it, send them the proof of policy, then change it back. I wouldn't waste money on low deductibles for a lender. If they are worried about my ability to pay a deductible they shouldn't have given me the loan.

Sure they CAN call the loan, but they're not going to.

 

No, but I have seen banks give you plenty of warning time and if you are not in compliance they will purchase a policy for their loan to you and bill you. It’s not cheap and it never includes all the coverage you normally get. Don’t pay that bill and the bank Will call the loan. Same thing happens on home mortgages.

 

Not having an insurance policy sure, or not having the proper coverage sure. Like I said though just change it to $500, send them the proof, and change it back. The other option is to just give your financing business to a lender without any such overbearing requirements. Like I said I have been financing and leasing cars for 20+ years and I have never been given any issue about my insurance deductible by a lender. But no, I'm not going to pay for lower deductibles than I need for a lender. Plenty of lenders.

I'm a real estate agent and home lenders also don't care what deductibles you have.

 

Former LO.

The maximum deductible for FHA homeowners insurance is the higher of $1,000 or 1% of the dwelling coverage's face amount, unless a higher amount is required by law. For wind or hurricane coverage, the maximum deductible is the higher of $2,000 or 2% of the dwelling coverage's face amount

 

The part of high S class insurance I hate, is my premium is the same now as when I bought the car 8 years ago, but the car has depreciated 75%. When I ask why, ins co says they’re expensive to fix. So what? It’s going to get totaled out anyways if damage is more than a fender bender.

 

Reduce your comprehensive to today’s value.
Increase your deductible.
Carry only your state’s minimum coverage requirement.