Written by Mark Lopez

Auto Insurance Deductibles: How Collision and Comprehensive Deductibles Differ

It's quite evident that your car insurance policy has a deductible. However, the next question that most motorists fail to answer is whether there is just one deductible or two. If you hold a full coverage policy, the answer to this question would be two. Collision and comprehensive deductibles are separate values for your policy and involve entirely different scenarios.

And the dollar amounts aren't small. According to Insurance Information Institute data, the average collision claim was $5,010, and the average comprehensive claim was $2,042. With the average price of a new vehicle topping $49,000 in early 2026 (per Kelley Blue Book), the financial exposure from even a moderate fender bender or hailstorm is significant. A 2024 Federal Reserve survey found 37% of Americans couldn't cover a $400 emergency with cash.

This guide explains the difference between collision and comprehensive deductibles in plain language, shows you when each one applies, and gives you three steps to choose the right deductible amounts for your situation.

Table of Contents

• Collision Deductible Meaning

• Comprehensive Deductible Definition

• Comparison Between Collision and Comprehensive

• How Does the Amount of Deductible Affect Car Insurance Rates?

• Mistakes to Avoid When It Comes to Car Deductibles

• Three Essential Tips for Determining Your Auto Deductible

• Benefits of Using PillowPays

• Key Learnings

• FAQs

• References

What Is a Collision Deductible?

This type of insurance covers your vehicle in the event of any sort of damage caused by a collision with another vehicle or any other object. A crash into another vehicle, crashing into a guard rail, crashing into a pole from a reverse movement, or even crashing into something alone are all covered under this insurance plan. Collision deductible refers to a deductible on your insurance claim.

For example, there is an accident involving another car, and your car sustains damage totaling $4,200. However, you are supposed to pay only $500, and the insurance company will cover the remaining $3,700.

In general, the deductible ranges from $250 to $2,000, but the most common amounts are $500 or $1,000. One thing to point out here is that collision insurance is much more expensive than comprehensive insurance, because collisions occur much more often than theft or storm damage. About 5.4% of those filing claims per year have collision coverage, as per data published by III.

What Is a Comprehensive Deductible?

The comprehensive coverage excludes all losses except those caused by collision damage. Comprehensive coverage is often referred to as "other than collision." This includes hailstorm loss, damage from falling objects, car theft, vandalism, animal damage, glass damage, fire, and flood.

For instance, assume a hailstorm damaged your windshield and hood, and the total cost is $3,800. With your comprehensive deductible set at $500, you have to bear the initial $500 loss, while the rest of $3,300 will be covered by your insurance company.

The fact of the matter is that the deductible for comprehensive coverage varies from $100 to $2,000. Another fact about comprehensive insurance is that it is less expensive than collision insurance because it entails fewer risks. Only 2.7% of people insured against comprehensive insurance make claims every year.

Side-by-Side: Collision vs. Comprehensive

Here's the thing most people miss: these are separate deductibles. If a hailstorm damages your car (comprehensive) and a week later you get rear-ended (collision), you'd pay both deductibles in the same month. Two separate events, two separate deductibles, two separate checks from your wallet. For more on how different auto insurers handle deductible reimbursement, see Best Auto Insurers for Deductible Reimbursement.

How Deductible Amounts Affect Your Auto Premium

The relationship is simple: a higher deductible equals a lower premium. But the savings vary between collision and comprehensive, and that's where the strategy lives.

According to ValuePenguin/III research, raising your deductibles from $250 to $1,000 can reduce your physical damage premium (collision + comprehensive) by roughly 40% to 56%. Since collision coverage costs 3 to 5 times more than comprehensive, raising your collision deductible has a bigger dollar impact on your total premium.

Math That Really Counts!

First, let's make a couple of assumptions: You currently pay $1,000 per year in collision insurance premiums and a $250 deductible. Also, you pay $400 annually in comprehensive coverage insurance premiums with a $250 deductible. Thus, the annual total for your physical damage protection is $1,400.

Now, let's increase your deductible on both policies to $1,000. The result will be that you pay just $700 per year in collision insurance premiums (a 30% savings of $300 annually). Also, you pay $320 annually in comprehensive insurance premiums (this time, it's a 20% saving, or $80 annually). Consequently, the sum will amount to an annual saving of $380, resulting in a total savings of $1,900 in five years.

The problem? Should you file a collision claim, the difference between deductibles ($1,000 and $250) will make $750 - something you don't necessarily have.

"Don't increase your deductible unless you can readily afford it," Linda Park, a Certified Financial Planner at Horizon Wealth Advisors.

Common Mistakes Drivers Make With Their Deductibles

Mistake 1: Not Being Aware You Have Two Different Deductibles

Many motorists wrongly believe that their automobile insurance policy contains a single deductible. No, there are two distinct coverages and two different deductibles. For example, you may have a $500 deductible for collision coverage but only a $250 deductible for comprehensive coverage. Review your insurance declarations page.

Mistake 2: Choosing an Equal Amount for Each Deductible

What is convenient may not be the most effective approach here. Given the lower number of claims and lower average amount per claim for comprehensive (2.7% vs. 5.4% and $2,042 vs. $5,010, respectively), you may want to consider a smaller deductible for comprehensive.

Mistake 3: Having a Small Deductible for a Used Car

If your car is valued at $4,000 and you are covered under a collision policy with a deductible of $250, you can claim only $3,750 after paying the deductible. Yet, you keep on paying your premiums monthly. One simple tip: if your collision and comprehensive premiums total 10% of the car's value, consider increasing the deductibles.

Mistake 4: Ignoring the Time Required by Subrogation Processes

If another person causes damage to your car, you have to pay the deductible for your collision insurance anyway. Even if your insurance company tries to seek recourse through subrogation against the other party's insurance company, you will have to wait 4 to 12 weeks. In some cases, the subrogation process could take up to six months. For more on this process, see Best Homeowners Insurance for Deductible Reimbursement on the PillowPays blog.

"One of the best things a driver can do is treat their deductible like a predictable expense rather than a surprise," says Robert Delgado, Independent Insurance Agent and member of the National Association of Insurance and Financial Advisors (NAIFA). "Know the number, have a plan for it, and you will never be caught off guard."

Three Steps to Choose the Right Auto Deductible

Step 1: Find Out What Your Current Deductibles Are and Jot Them Down

Bring out your auto declaration sheet and look at the two lines showing your deductibles for collision and comprehensive coverages and their premiums. For a broader overview of how deductibles work across all insurance types, see What Is Deductible Reimbursement? A Guide to Financial Safety.

Step 2: Obtain Bids at Different Deductible Levels

Check with your insurance company or your online insurance account how much you would pay for deductibles of $500, $1,000, and $2,000 for your collision and your comprehensive insurance policies. Look at how much money you could save with each deductible level, especially on the collision policy, since that one has the highest premium costs.

Step 3: Choose a Deductible that You Can Afford

Do not choose the maximum deductible for a minimum premium. Instead, choose a deductible you can afford to pay if needed. If you are unable to pay the $1,000 deductible, keep the $500 deductible. If you have already set aside $1,000 in anticipation of your deductible, you should consider a high-deductible plan. For more strategies, visit the PillowPays blog.

Key Takeaways

• Collision insurance covers accidents with other vehicles and other objects. Comprehensive insurance covers anything else, such as weather-related accidents, thefts, collisions with wildlife, vandalism, and fires. Collision and comprehensive are separate insurance types that require separate deductibles.

• Because there's a higher risk of accidents, collision insurance costs three to five times as much as comprehensive insurance. On average, a claim made under collision insurance will cost $5,010, whereas a comprehensive claim averages out to $2,042.

• Increasing both deductibles from $250 to $1,000 will allow you to save up to 40 percent to 56 percent on your physical damage insurance premium. Start by increasing the collision coverage deductible.

• Two accidents in one month mean two deductibles paid. Think about the worst-case scenario; do not focus on only one accident at a time.

• Make sure the deductible you choose aligns with your current financial situation. Having a high deductible, like $1,000, will not be beneficial unless you can afford it.

Frequently Asked Questions

What makes the difference between a collision and a comprehensive deductible?

Should the damage to your car come as a result of any accident that happens when coming into contact with any other vehicle or object, then you have to make the payment corresponding to the collision deductible. But if the damage to your car is not the result of a collision but rather of another cause, such as theft, vandalism, hail, etc., you have to pay the comprehensive deductible.

Will I have to pay both deductibles if I make two claims?

If you have two claims within one insurance period, which means one relating to collision and the other to comprehensive, you will have to pay for both of them.

Do I have to match my collision and comprehensive deductibles?

Not always, because comprehensive claims are less likely and less expensive than collision claims, so some motorists select a smaller deductible for comprehensive and a larger one for collision to save on premiums. Ask your insurance company to show you how much you can save.

Will I recover my deductible if the accident is not my fault?

Probably yes, but it will take time. The insurance company will file a subrogation claim against the other party's insurance company. It takes about 4 to 12 weeks on average to get the deductible back, and even up to 6 months or longer in some cases. Sometimes, subrogation is not totally successful.

At what point should I drop collision or comprehensive coverage?

Generally speaking, when the combined annual premium on collision and comprehensive coverage is more than 10% of the fair market value of your car, the coverage may be considered too expensive. If the car is relatively old and worth between $3,000 and $5,000, the premiums approach the total loss payoff.

Disclaimer

This article is for informational purposes only and does not constitute insurance or financial advice. Consult a licensed insurance agent or financial advisor for guidance specific to your situation.

Sources and References

• Insurance Information Institute (III). (2025). Understanding Your Insurance Deductibles.

• Insurance Information Institute (III). (2025). 12 Ways to Lower Your Homeowners Insurance Costs.

• Federal Reserve Board. (2025). Economic Well-Being of U.S. Households in 2024.

• Kaiser Family Foundation (KFF). (2025). Employer Health Benefits Survey.