Deductible Premium Breakeven
Calculator

It shows the annual amount of medical spending at which a high-deductible plan with a lower premium costs the same total (premium plus out-of-pocket) as a low-deductible plan with a higher premium. Below that spending level, the high-deductible plan wins; above it, the low-deductible plan wins.

Compare the breakeven spending level to your realistic expected annual medical costs. If you rarely see a doctor, the high-deductible/low-premium plan usually saves money; if you have chronic conditions or planned procedures, the low-deductible plan often wins.

The premium difference is money you save automatically every year regardless of how much care you use, so it directly offsets a higher deductible. The breakeven is the spending level where that saved premium equals the extra deductible exposure.

Not unless you include them as an input; if your employer contributes to a Health Savings Account paired with a high-deductible plan, that money effectively lowers your real out-of-pocket cost and shifts the breakeven in favor of the high-deductible option.

When costs vary a lot, consider the low-deductible plan for its protection against bad years, since the breakeven analysis assumes you know your spending in advance. Risk-averse people often value the certainty over the average-case savings.