A deductible is the amount you pay out of pocket before your insurance starts paying on a claim. Texas auto policies have separate deductibles for collision and comprehensive.
How it works
If your collision deductible is $500 and the repair estimate is $4,000, the insurer pays $3,500 and you pay $500. If the repair is less than $500, you pay for everything yourself.
Choosing your deductible
- $250 — higher premium, lower out-of-pocket
- $500 — common balance
- $1,000 — meaningfully cheaper premium, but you need the $1,000 available
- $2,500+ — lowest premium but high out-of-pocket risk
Special deductible rules
- Comprehensive deductibles often lower than collision
- Glass damage often has a $0 deductible add-on in Texas
- UMPD deductibles often lower than collision
- Pet injury and personal property coverages may have separate deductibles
Refund through subrogation
If you paid your deductible on a first-party claim and your insurer recovers from the at-fault driver, your deductible is refunded pro rata.
Frequently asked questions
What is a deductible?
The amount you pay out of pocket before insurance pays. Applies separately to comprehensive and collision in Texas.
What deductible should I choose?
$500 or $1,000 is typical. Pick what you can actually afford in an emergency.
Do I pay the deductible if I'm not at fault?
Yes initially, on a first-party claim. Refunded if your insurer recovers through subrogation.
Does liability have a deductible?
No. Liability coverage has no deductible.
Can I lower my deductible mid-policy?
Yes, but it raises the premium and a pending claim cannot retroactively use a lower deductible.
This article is for general information only and is not legal or tax advice. For guidance specific to your situation, talk to a licensed Texas insurance agent. Ready to put it into practice? Get a free quote or request a policy review.