Originally Posted by GCguy2169
yeah, but the things is that when I get ins. I try to get the lowest deductible I can. That raises the payment, but saves you from dishing out that $1,000 for repairs in the case you didnt have it.
To each their own, but ......
You're chances of using the insurance are lower than the amount you'd save with the higher deductible. It's something I learned a while back looking at finance efficiency and budgeting and something Dave Ramsey teaches in his seminars as well.
Right after I learned about it I changed all my ded's to $1000. Take the money you save on the insurance drop it into a saving account drawing interest and make money on top of the savings. Otherwise at the end of the 6 mos or 1 year ins term, you've paid a higher deductible and if claim free you've thrown money away. Also, in a fender bender the repairs are likely less than $1000 so you're less likely to use your ins in turn keeping your rates lower in the long term.