Higher Insurance Deductible- Is it worth it?

As most people know, if they raise their deductible, they can lower their monthly car insurance premiums. But a question that is often not asked is, Is it worth it to raise my deductible? Let take car insurance for a moment. If I raise my insurance deductible from $250 to $1000, is it worth it? If I am only saving $50 a month, it may or may not be. From a mathematical perspective, the only way it would be worth switching in this case is if you could avoid an accident for 18 months.

On the other hand, if you have an accident when the policy is only 9 months old, then you actually lose money. Keep in mind, since you don’t know when you will be involved in an accident, it may be better to just keep the lower deductible.