HIGH DEDUCTIBLE ISN’T ALWAYS A GAMBLE
I get where you’re coming from, but I actually crunched the numbers for our family and the high deductible still made sense over a few years. We drive pretty defensively and haven’t had a claim in ages, so the premium savings added up fast. The key for us was just setting aside what we saved each month into a “car mishaps” fund—kind of like self-insuring that first chunk. It’s not totally stress-free, but if you’re disciplined about it, you might come out ahead. Not saying it’s for everyone, but sometimes the risk isn’t as wild as it seems.
HIGH DEDUCTIBLE SOUNDS GOOD... UNTIL IT DOESN’T
I get the logic behind the high deductible route—my brother swears by it and he’s probably saved a ton over the years. But I’ll admit, I’m a bit more cautious. I commute about 40 miles round-trip every day, and even though I try to drive safe, there’s just so much out of my control. Last winter, some guy slid into me at a stoplight. Not even my fault, but suddenly I was staring down a $1,000 deductible I’d honestly forgotten about. The savings on premiums felt pretty small in that moment.
That said, your idea of stashing away the difference is smart. If I’d actually done that instead of just thinking “hey, extra cash,” maybe it wouldn’t have stung so much. Guess it comes down to how disciplined you are and how much risk you’re willing to stomach. For me, I’m still on the fence... but maybe next renewal I’ll give it another look.
The savings on premiums felt pretty small in that moment.
That’s the catch, isn’t it? I’ve gone the high deductible route for years, mostly because the premium difference is significant when you’re insuring something pricey. But after a minor fender bender last year, I realized how quickly those “savings” can evaporate. If you drive a lot or have a car that’s expensive to repair, sometimes peace of mind is worth the extra monthly cost. I still lean toward higher deductibles, but only because I keep a dedicated fund for emergencies—otherwise, it’d be too stressful.
I hear you on the “savings” disappearing act. I thought I was clever with a high deductible, until a rogue shopping cart decided my bumper was its soulmate. Turns out, even a tiny scrape on a luxury car costs more than my first apartment’s rent. I still stick with the higher deductible, but only because I’ve got a rainy day fund (that now feels more like a monsoon fund). If you’re not ready to cough up a chunk of change at any moment, that lower deductible starts looking pretty good...
Turns out, even a tiny scrape on a luxury car costs more than my first apartment’s rent.
Man, I relate to that way too much. My last “little fender bender” ended up costing almost double what I’d saved up for emergencies. I always figured the high deductible would keep my premiums down, but after a couple of run-ins (one of them was literally with a mailbox), I started questioning if it was worth the stress. Still, if you’ve got that monsoon fund, it makes sense. For me, it’s a gamble every time I get behind the wheel… but I guess that’s life, right?
