savings comparison
High vs. Low Deductible
Raising your deductible cuts premium 8–15% but transfers more risk to you. The math only works if you have the cash on hand.
Low Deductible ($250–$500)
55/100
Standard premium
Best for: Limited emergency fund, claim-prone driver
Pros
- Less out-of-pocket per claim
- Lower psychological barrier to filing
Cons
- 10–20% higher premium
- Encourages small claims that raise rates
High Deductible ($1,000–$2,500)
80/100
10–20% lower premium
Best for: Solid emergency fund, low-claim history
Pros
- Locks in savings immediately
- Discourages low-value claims that surcharge premiums
Cons
- More out-of-pocket per claim
- Requires liquid emergency fund
Our recommendation
Raise your deductible to the highest amount you can comfortably write a check for tomorrow. The premium savings typically pay back within 3–5 claim-free years.
Frequently asked
Does a higher deductible affect liability coverage?
No — deductibles only apply to your own property (collision, comprehensive, home). Liability has no deductible.