Should You Raise Your Auto Insurance Deductible?

Most people know they can raise their deductible to lower their premium.

What they often do not know is:

  • How much they would actually save.

  • How long it would take to break even.

  • Whether the higher deductible makes sense

If you already have your numbers, use the tool below.

If not, we can help you compare your options.

Use the worksheet below get a glimpse of the trade-offs between a lower premium and a higher out-of-pocket cost.

If you do not have the numbers, we can help you run them. Just click the "Get Help Button"

Deductible Decision Helper

Deductible Decision Helper

Answer a few quick questions to find the right deductible for your situation.

Step 1 of 5
Part 1
Your Current Coverage
Current Deductible
$
Proposed Deductible
$
Current Annual Premium
$
Proposed Annual Premium
$
Annual Savings
—
Part 2
Break-Even Analysis

If you do file a claim at the proposed deductible, how long until premium savings offset the additional out-of-pocket cost?

Additional deductible amount
$
Annual premium savings
$
Best case: No claim filed = you keep 100% of the savings. Worst case: Claim filed in Year 1 = break-even in ~— years.
Part 3
Are You Comfortable With This Change?
I have an emergency fund equal to or larger than my proposed deductible.
Paying the proposed deductible would not create financial stress.
I'm willing to cover multiple claims in the same year at the proposed deductible if needed.
My income is stable and unlikely to drop significantly in the next 1-2 years.
I rarely file small claims, even if covered.
My driving/risk record has been clean for at least 2-3 years.
I fully understand that a higher deductible means higher out-of-pocket risk, even with lower premiums.
The monthly/annual premium savings feels meaningful relative to my income.
Part 4
Questions to Ask Your Insurance Agent
Will increasing my deductible affect my coverage limits or other benefits?
Are there any discounts I'd lose by changing deductibles?
How do deductibles work if I have multiple policies (auto, home, etc.)?
How long do I have to file a claim after an incident?
What's the claims process if I'm disputing a claim denial?
Will my rates increase if I file a claim, even after paying the deductible?
Should I revisit this decision annually or when my situation changes?
Part 5
Final Recommendation

Your Deductible Decision Summary

Next Steps

1
Review your decision summary above to confirm everything looks right.
2
If you had any "No" scores, discuss concerns with your agent before proceeding.
3
Share this summary with your insurance agent to move forward with any changes.

Ready to talk to your agent?

Disclaimer: This tool is for educational purposes only and does not constitute insurance advice. Always review any proposed changes with your qualified insurance agent before making adjustments to your policy.

Don't Have Your Numbers?

Most people don’t know how much they would save by raising their deductible and that’s perfectly normal.

That’s where we can help.

At Sentinels Financial Group, we can review your current policy, compare deductible options, and show you how the numbers work so you can make an informed decision.

Your Options:

Sentinels Financial Group

523 Benfield Rd. Severna Park, MD 21146

443-333-1280 | [email protected]

06/27/2026

Disclaimer: This tool is for educational purposes only and does not constitute insurance advice. Always review any proposed changes with your qualified insurance agent before making adjustments to your policy.