A collision deductible waiver or CDW is a policy you’ll be able to buy as part of your car insurance policy which will pay your collision deductible if your insured vehicle is damaged in an accident and the individual liable is an uninsured motorist.
Normally, if you’re in a car accident in which the at-fault driver is uninsured, then you need to use your collision coverage to get your car repaired, and this involves paying your related collision deductible.
With a lot of motorists operating without insurance onto the roadways, this policy may prevent you from needing to cover splurging for some of your car’s repairs if these strikes you. It is particularly beneficial coverage if you’ve got a high collision deductible.
For instance, if you’ve got a $1,000 collision deductible and you are struck by an uninsured driver, the CDW will pay your $1,000 deductible amount and then your collision coverage will pay for the rest of the cost of the repairs to your car.
This deductible waiver is generally only accessible when there is real physical contact with another car and the injury is caused by an identifiable motorist.
Miss-and-run and hit-and-run accidents aren’t normally covered unless the at-fault motorist is located and is identifiable as being uninsured.
As you can imagine, if folks could use the waiver with no other driver being understood, then some motorists would attempt to maintain single car accidents as a shout to acquire their deductible waived if they had been really at-fault and ought to cover it out.
In states that permit a proportion of accountability to be delegated to every driver involved in a crash, you can’t be found partly at-fault, or so this policy will not apply. Consequently, if you’re found 10% at-fault, you could not use your CDW and could need to pay your deductible amount.
The collision deductible waiver can be bought only in conjunction with collision protection and isn’t available in all countries or from most of car insurance companies.
The longer you pay for collision policy, the longer you pay for a collision damage waiver. We sampled several rates and discovered when adding on a six-month policy the price of a CDW ranged from $1 to a Corolla to $23 to a Mercedes.
Depending on the condition and guidelines of the insurance carrier, you could also need to carry uninsured motorist policy to carry collision deductible waiver policy.