Insurance Deductible Calculator
Decide whether a higher car or home insurance deductible saves money, given how often you claim.
Free · No sign-up · Your inputs stay in your browser
Your numbers
Test a higher deductible
Your projection
Higher deductible saves $135 a year
Premium saved a year
$210
Extra paid per claim
$500
Break-even
One claim every 2.4 years
Only raise a deductible you could pay tomorrow from savings. The premium saving is certain; the claim is not, and paying it with a credit card erases the saving.
About this tool
Method, assumptions, practical next steps, and limits.
Self-insure the small losses
Raising a deductible lowers the premium every year in exchange for paying more in the year you claim. If you claim rarely, the higher deductible usually wins.
How the calculation works
Break-even years between claims = extra deductible ÷ premium saved per year
Raising a deductible from $500 to $1,000 saves $210 a year and costs $500 more per claim. Break-even is one claim every 2.4 years. At 0.15 claims a year, about one every seven years, the expected saving is $135 a year.
The condition
Choose only a deductible you could pay tomorrow from savings. Paying it with a credit card at 24% erases the saving. Your state’s insurance department publishes consumer guides and complaint records for insurers.
