A: It is the amount of money that a vehicle owner must pay out-of-pocket before the insurance company covers the remaining cost of the claim. It is the policyholder’s share in the repair or claim amount and applies every time a claim is filed. This fee is clearly stated in your insurance policy.
Insurance providers charge a deductible for several reasons:
1. It emphasizes that the driver is responsible for any damage the vehicle incurs during an accident.
2. It helps prevent insurance fraud by discouraging false claims.
3. It deters car owners from filing minor or unnecessary claims, ensuring insurance is used for more significant losses.
4. It reinforces the responsibility of the vehicle owner to care for the vehicle with the diligence of a good father of a family—a legal principle in Philippine law.
Here are the standard deductible/participation fees in the Philippines:
1. Private Cars: 0.50% of the Sum Insured (SI), with a minimum of ₱2,000
2. Commercial Vehicles: 1.00% of the SI, with a minimum of ₱3,000
3. Motorcycles: 1.00% of the SI, with a minimum of ₱500
4. LTO-registered Vehicles (e.g. public utility vehicles): 1.25% of the SI, with a minimum of ₱4,000
Knowing your deductible amount can help you better prepare in case you need to file a claim.

A: NO
✅ Acts of Nature is not automatically included in a standard comprehensive vehicle insurance policy. It is considered an optional benefit that must be purchased on top of your comprehensive coverage. Just because you have comprehensive insurance doesn't guarantee that Acts of Nature coverage is part of it. Always read your policy carefully and consult your insurance agent or provider to confirm your coverage.
✅ Why is Acts of Nature coverage important? Acts of Nature protects your vehicle against damages caused by natural calamities such as floods, earthquakes, typhoons, volcanic eruptions, and fire. Without this coverage, any damage caused by these events will not be covered by your insurance, and the cost of repairs—or even total replacement—will have to come out of your own pocket.
Pro tip: Always choose an insurance provider that is reliable and reputable, not just the one offering the cheapest premium. Some providers offer low-cost or even free Acts of Nature coverage, but when it's time to file a claim, you might end up with delays or even denials. Make sure your insurance company can deliver when you need them most.