That’s the thing—most folks *say* they’ll stash the savings, but life gets in the way.
In my experience, not many. Curious if anyone here actually has a “deductible fund” or if it’s just wishful thinking?“how many people actually set aside the difference each month like they say they will?”
I see this all the time—people swear they’ll sock away the $30 or $40 a month they save, but then the car needs new tires or the dog gets sick and, well, there goes the “deductible fund.” I’ve met maybe two people in ten years who actually had a separate account for it. Most just hope nothing happens. Not judging, just...life, right?
I get where you’re coming from, but I actually think the “deductible fund” idea can work for some people, even if it’s not a separate account. I mean, yeah, life gets in the way and stuff pops up—flat tires, vet bills, whatever. But honestly, that’s just how any kind of savings goes for me. I don’t have little buckets for everything; it’s just one pile that’s supposed to cover emergencies, car stuff, and random life chaos.
Most just hope nothing happens. Not judging, just...life, right?
I kinda do hope nothing happens, but isn’t that the whole point of insurance in the first place? I pay less each month and take the risk that if something big does happen, I’ll have to cough up more. But if I’ve got a bit of a buffer (even if it’s not labeled “deductible fund” in my banking app), it feels worth it. I’d rather have the lower bill now and deal with the deductible if and when it comes up.
Also, as someone who drives a lot for work, I’m always weighing these trade-offs. If I went with a lower deductible, my monthly would be way higher because of all the miles I rack up. That extra $30 or $40 a month adds up fast over a year. If nothing happens (knock on wood), that’s money I can use for other stuff—like those new tires or surprise vet visits.
Not saying everyone should do it this way, but there’s something to be said for just keeping a general emergency fund and not stressing about splitting everything into separate accounts. Maybe it’s not “by the book,” but it works for me...most of the time anyway.
If nothing happens (knock on wood), that’s money I can use for other stuff—like those new tires or surprise vet visits.
I get what you mean about just hoping nothing happens. I’m still pretty new to driving, so I’m honestly a bit nervous about having a high deductible. One fender bender and I’d be scrambling to cover it, even with an emergency fund. I’d rather pay a little more each month just for peace of mind, even if it’s not the most “efficient” way. Maybe once I’ve got more saved up, I’ll take the risk, but for now, I’m playing it safe.
I hear you on the peace of mind thing. For a lot of folks, especially new drivers, the idea of a big deductible hanging over your head can be pretty stressful. It’s not just about what’s “efficient” on paper—sometimes it’s just about what helps you sleep at night.
I’ve seen people get burned by going too high on their deductible before they were really ready for it. Sure, you save money monthly, but if something happens and you’re not prepared, it can be rough. On the flip side, if you’ve got a solid emergency fund and you’re comfortable with a bit more risk, the savings can add up over time.
In your shoes, I’d probably do the same—stick with the lower deductible until you’re more confident and have a bigger cushion. Insurance is all about balancing risk and comfort level anyway... there’s no one-size-fits-all answer.