• This is out-of-pocket money that the Policyholder pays for in an insurance claim as a form of co-insurance. Liberty Insurance customers are to choose one of two forms: fixed deductible or scaled deductible to ensure they obtain the best product and services at a lower cost. This also ensures fairness among customers.
• Fixed deductible
o The customer will pay up to VND 1, 2, 5, or 10 million per claim
o Benefit: save 12% to 45% of premium compared to scaled deductible
• Scaled deductible
o The customer will pay at the maximum:
o For the 1st & 2nd claims: VND 0
o For the 3rd claim onwards: VND 1 million per case
• Benefit: The average Liberty customer only makes less than 2 claims per year. Therefore, very few would be affected by choosing scaled deductible.
• Hydraulic stroke
o Customers are responsible for either 30% of any one incidence of loss or the prevailing deductible at the time of the loss, whichever is greater (applicable to both types of deductibles).
• To increase savings?
o Avoid repainting when there are only a few scratches. The painting cost is based on the car part (bumpers, mudguards, doors, etc.) rather than the number of scratches
o Avoid making small claims to enjoy more favorable renewal premiums