Raise Your Deductible to Lower Your Premium

The Problem

You have a $500 deductible you've never used. You're paying extra premium for a low deductible you don't need.

The Hack

Call your insurer and raise your deductible from $500 to $1,000 (or $1,000 to $2,500). Keep the difference in an emergency fund to self-insure.

Why It Works

Higher deductible = lower premium because you're taking on more risk. If you rarely file claims, you'll save money every year and only pay the higher deductible if something actually happens.

Pro Tips

• Savings: 15-25% on premiums
• Keep the deductible amount in savings as self-insurance
• If you haven't filed a claim in 5+ years, you're overpaying for low deductible
• Works for auto, home, and health insurance