Example data table
| Scenario | Current annual premium | New deductible | Annual mileage | Total discounts | Estimated annual savings |
|---|---|---|---|---|---|
| Sample A | 1,800 | 1,000 | 12,000 | 15% | ≈ 250 |
| Sample B | 2,400 | 1,500 | 9,000 | 22% | ≈ 520 |
| Sample C | 1,500 | 750 | 18,000 | 10% | ≈ 120 |
Formula used
The calculator starts with your current annual premium and estimates a new premium by applying coverage choices, deductible impact, mileage multiplier, risk multipliers, discounts, and optional surcharges.
- Base annual premium = annual premium, or monthly premium × 12.
- Coverage adjustment reduces the base if collision or comprehensive is removed.
- Deductible effect applies a step-based percent change to the coverage share.
- Mileage factor applies a multiplier based on annual mileage bands.
- Risk factors multiply the premium by driver tier and credit tier estimates.
- Discounts subtract a combined percent (capped at 45%).
- Surcharge adds an estimated percent based on recent claim count.
- Installment fees add monthly fees × 12 to the annual cost.
- Annual savings = base annual premium − estimated new annual premium.
How to use this calculator
- Select whether you know your premium monthly or annually.
- Enter your current premium amount and basic coverage choices.
- Set your current and proposed deductible values.
- Enter annual mileage and choose your profile tiers.
- Add discounts you qualify for, then press Submit.
- Review savings above, then export CSV or PDF.
Premium drivers and measurable levers
Premium pricing is usually driven by exposure, loss probability, and repair severity. For many drivers, the largest measurable levers are mileage, deductible level, claims history, and verified discounts. If your annual premium is 1,800 and you capture a 12% net reduction, you save about 216 per year. Use scenario testing to separate “nice to have” tweaks from changes that materially affect total cost at renewal. Small changes like paying in full or confirming bundling eligibility can add up fast.
Deductibles and out-of-pocket planning
Deductibles shift cost from premium to out-of-pocket. A move from 500 to 1,000 often lowers the collision and comprehensive portion of the bill, but you accept an extra 500 per claim. If the calculator shows monthly savings of 20, the break-even is 25 months without a claim. Add your claim likelihood and emergency cash to decide sensibly.
Mileage exposure and band effects
Mileage is a practical exposure proxy. Many carriers price in bands, so crossing a threshold can matter more than small changes inside a band. Dropping from 15,000 to 9,000 miles can move you from a surcharge factor to a neutral factor, especially for commuters. Even a 6% difference compounded over a year can exceed typical policy fees for many mid sized vehicles.
Discount stacking and realistic limits
Discounts can stack, but real-world programs often apply caps or coverage-specific rules. Bundling, safe-driver credits, telematics, anti-theft features, and pay-in-full savings may not all apply to every coverage line. This tool caps total discounts at 45% to keep outputs realistic. When your entered total hits the cap, treat the estimate as an upper-bound scenario.
Renewal preparation and target setting
Renewal preparation works best with numbers. Start by recording your current premium, deductible, mileage, and claims count, then estimate savings from one change at a time. Lock in “no-regret” items like accurate mileage reporting and billing preferences. If you had a recent claim, expect a surcharge that can offset discounts. Convert annual savings to monthly and set aside that amount, so a higher deductible is easier to handle. Use the chart to compare current cost versus your target.
FAQs
1) Is this an exact quote?
No. It estimates how common pricing levers can shift premiums. Use it to compare scenarios, then request quotes using the same deductible and coverage inputs.
2) Why can my savings be negative?
If you lower deductibles, add installment fees, increase mileage, or include claim surcharges, the estimated new premium may rise above your current premium.
3) How should I choose discount percentages?
Use figures shown on your declarations page or insurer portal. If you are unsure, enter conservative values and compare outcomes across low, mid, and high assumptions.
4) What does the deductible break-even mean?
It estimates how long premium savings take to equal the extra deductible per claim. It is helpful for judging the risk of raising deductibles.
5) Do discounts apply to every part of the policy?
Not always. Some discounts apply only to certain coverages or only at renewal. Treat results as directional and confirm discount rules with your insurer.
6) How should I use this before shopping?
Pick one change at a time, record the savings, then request comparable quotes. Keep coverage limits consistent so you are comparing price changes, not protection changes.