If you’ve been following along, you may know that I was in a minor car accident over the weekend. I visited an auto body shop that my insurance company deals with directly. The damage to the doors and fender will cost at least $2,500 to fix, $500 of which is my deductible. They will need to work on my car for a week, so I’ll need a temporary replacement. Liberty Mutual, my insurance company, offers reimbursement/payment for a rental car up to $30/day.
Assuming 7 days of using the rental car, Liberty Mutual will be covering at least $2,210. The $500 I have to pay is not a problem, I save extra in my “Car Fund” at ING Direct to cover such semi-emergencies. If I had to pay the full amount, I’d have to dip into my true “Emergency Fund,” which is something I’d rather not do.
A few years ago, this accident would have had me in a terrible position, not able to afford the deductible. Thankfully, I started getting myself financially in gear in 2002.
Elsewhere in the blogosphere, Chitown from Windy City Blues was also in a car accident recently, and Jim from Blueprint for Financial Prosperity doesn’t carry collision and comprehensive insurance.
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Don’t know how Liberty Mutual works, but if they give you a check with the estimated amount rather than reimburse you for the repair, you may be able to find a place to get the job done for, say, $2000, so you don’t have to pay the $500 deductible out of your own pocket.
Not to be all “me too”, but I did make a good point about holding on to your accident repair records here.
Ah, you don’t allow links.
http://mortarboard.blogspot.com/2006/10/paperwork-1-hc-0.html