Does anyone actually come out ahead with those high deductibles unless they never file a claim?
Honestly, I’ve wondered the same thing. I drive my kids all over town and, like you, I just can’t shake the worry if something goes wrong. The “peace of mind” factor is huge for me too. Sure, saving $10-15 a month sounds nice, but one cracked windshield or fender bender and suddenly that savings is gone for years. Unless you’re super lucky or barely drive, I don’t see how the math works out long-term. For me, I’d rather pay a bit more each month and not stress every time there’s a hailstorm or a runaway shopping cart in the parking lot.
CHOOSING A DEDUCTIBLE: IT’S KIND OF A JUGGLING ACT
I totally get where you’re coming from. The peace of mind thing is real, especially if you’ve got kids in the car and a million errands every week. I used to think higher deductibles were the “smart” choice because, hey, lower premiums, right? But after running the numbers a few times, it’s not always that simple.
Here’s how I try to break it down for myself:
1. **Look at your emergency fund.** If you don’t have $1,000 or $2,000 just sitting around for a surprise repair, a high deductible can be a real gut-punch when something happens. I learned that the hard way after a minor accident last year—saved $12/month for two years, but then had to cough up $1,500 all at once. Not fun.
2. **Think about your driving habits and luck (or lack thereof).** If you’re on the road a lot, especially in busy areas or places with wild weather, odds are you’ll need to file a claim sooner or later. My neighbor’s had her car dinged in our grocery store lot three times in one year… she switched to a lower deductible after the second time.
3. **Do the math—but don’t overthink it.** Sometimes the premium difference between a $500 and $1,000 deductible isn’t even that big. I’ve seen quotes where it’s like $8/month difference. Over five years, that’s less than $500 saved, but if you have one claim, you’re out an extra $500 right away.
4. **Factor in your stress level.** Some folks are fine rolling the dice and hoping for the best. Me? I’d rather pay a bit more each month and not worry about every little scratch or storm cloud.
I guess there are people who come out ahead with high deductibles—maybe folks who rarely drive or have never filed a claim in decades. But for most of us with kids, commutes, and unpredictable parking lots, I’m not convinced it’s worth the gamble.
It’s definitely not one-size-fits-all. For me, paying a little extra for that “just in case” cushion is worth it. But hey, if someone’s got nerves of steel and an untouched emergency fund, maybe they see it differently...
Honestly, I get the peace of mind thing, but as someone just starting out and watching every dollar, I’m leaning toward a higher deductible. The monthly savings add up, and if you’re a careful driver (or just don’t drive much), it feels like paying extra “just in case” is money down the drain. I’d rather stash that difference in my own emergency fund than hand it to the insurance company every month. Maybe I’ll regret it if something happens, but for now, I’d rather bet on myself.
HIGHER DEDUCTIBLE: SMART OR RISKY?
I totally get where you’re coming from. When I was fresh out of college, I picked the highest deductible I could stomach just to keep my monthly bills down. I figured, hey, I’m a careful driver and my car’s not exactly a magnet for trouble. For a couple years, it worked out fine—saved me a decent chunk each month.
But then, one winter, I slid on some black ice and ended up with a $1,500 repair bill. That deductible hit hard. I had some savings, but it still stung way more than those extra few bucks a month would’ve. Not saying you shouldn’t go for the higher deductible if you’re comfortable with the risk—it really does add up if you don’t have any claims. Just make sure your emergency fund is actually there and ready to go if something happens. Sometimes people plan to save the difference but life gets in the way.
Honestly, there’s no perfect answer. It’s all about what helps you sleep at night and what you can realistically handle if things go sideways.
Honestly, I see this a lot—people pick a high deductible thinking they’ll just save the difference, but then life throws a curveball. One thing I always suggest is to do a quick budget check: if you had to pay your deductible tomorrow, would it wreck your finances or just be an annoyance? It’s easy to underestimate how much even a “manageable” deductible can sting when you’re not expecting it.
Curious—do you folks look at how much you’d actually save per year by raising your deductible, or do you just go with what feels right? Sometimes the difference in premium isn’t as big as people think...
