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Deductible Tradeoff Calculator

Compare low- and high-deductible plans using premium plus probability-weighted out-of-pocket on a typical claim size.

Enter Your Values

Using shared profile · 3,500/mo · EURedit on Dashboard

Start from a realistic scenario
Low Deductible
High Deductible
Risk
15 %
050

Results update automatically as you change values.

Decision Engine
Understand
Enter only what matters
Calculate
Transparent formulas
Compare
Side-by-side options
Hidden Costs
What you might forget
Scenarios
Best, expected, worst
Decide
Clear recommendation
Decision Verdict
Best overall choice
High Deductible

High Deductible has lower expected cost by €100.

Low Deductible Expected Cost
€1,275
High Deductible Expected Cost
€1,175
1 things you might be forgettingEstimate based on your inputs — not guaranteed financial advice.

Decision Engine

Confidence
65/ 100
Decision confidence
€1,275

Low Deductible Expected Cost

Your action plan
  1. 1Pin down "Claim Prob." — it moves the result by up to €250, more than anything else.
  2. 2Budget for the 1 hidden cost before you commit.
  3. 3Sanity-check the worst case (€1,530) — can you live with it?
  4. 4Adjust the inputs to match your real numbers, then revisit the verdict.

Your Results

Low Deductible Expected Cost
€1,275
High Deductible Expected Cost
€1,175
High Deductible Saves
€100
Low Expected OOP
€75
High Expected OOP
€375
Premium Savings (High)
€400
Decision Summary

Low: €1200 + €75 OOP = €1275. High: €800 + €375 OOP = €1175. High Deductible wins by €100.

What-If Scenarios

Results update instantly
15 %
0 %50 %
2500
50010000

Cost Breakdown

Low premium
€1,20049.0%
Low expected OOP
€753.1%
High premium
€80032.7%
High expected OOP
€37515.3%

Expected Annual Cost

€0€500€1.0K€1.5KLow Deduct…High Deduc…Low Deductible: €1,275High Deductible: €1,175

Click chart to expand

Side-by-Side Comparison

Low Deductible
Premium
€1,200
Expected OOP
€75
Total
€1,275
RecommendedHigh Deductible
Premium
€800
Expected OOP
€375
Total
€1,175
Best Financially
High Deductible
Best for Flexibility
Low Deductible
Best Overall
High Deductible

High Deductible has lower expected cost by €100. Ensure you can pay the high deductible in cash if you choose it.

What You Might Be Forgetting

Hidden costs and factors that are easy to overlook but can significantly impact your decision.

Cash for deductible

Prefer low deductible when a single claim would force debt.

These estimates are for informational purposes only and do not constitute financial advice. Actual results may vary based on factors not captured in this calculator.

How This Calculator Works

What this calculator does

Decide whether paying more premium for a low deductible beats saving premium with a high deductible, given your claim odds.

How the calculation works

Expected OOP is claim probability × min(claim size, deductible). Total cost = premium + expected OOP for each option.

Formula

Total = Premium + Claim% × min(Claim Size, Deductible)

Example

Low: €1,200 + 15% × €500 = €1,275. High: €800 + 15% × €2,500 = €1,175. High deductible wins by €100 on EV — if you can pay €2,500 cash.

How to Use This Calculator

  1. 1
    Enter your numbers

    Fill in the inputs for Deductible Tradeoff Calculator. Defaults are realistic starting points — replace them with your actual figures.

  2. 2
    Understand the calculation

    Expected OOP is claim probability × min(claim size, deductible). Total cost = premium + expected OOP for each option.

  3. 3
    Review results and scenarios

    Check metrics, cost breakdown, comparison tables, and best / expected / worst scenarios. Use sliders to stress-test assumptions.

  4. 4
    Decide with the verdict

    Read the decision engine recommendation and FAQ. Example: Low: €1,200 + 15% × €500 = €1,275. High: €800 + 15% × €2,500 = €1,175. High deductible wins by €100 on EV — if you can pay €2,500 cash.

Factors to Consider

  • Cash available to pay the deductible tomorrow
  • Multi-claim years
  • Premium discounts for bundling
  • Risk tolerance beyond expected value

Common Mistakes

  • Choosing high deductible without an emergency fund
  • Using lifetime claim odds as annual odds
  • Ignoring claim sizes larger than either deductible

Frequently Asked Questions

When does low deductible win?+

When claim probability or claim size is high enough that expected OOP erases the premium savings.

Is EV enough?+

No if a single claim would force debt. Prefer low deductible when cash buffers are thin.

This calculator provides estimates for informational purposes only and does not constitute financial, investment, tax, or legal advice. Always consult a qualified professional before making important financial decisions.