HELP - Cragar SS Lug Nut Washers Keep Crushing - Need Alternatives!

I think you may be correct. My wheels don't have any relief cut in them for a conical lug nut but maybe that's just how they are. I'd be a little concerned about cracking the wheel from trying to seat them. They also offer some other conical nuts with a little shank on them which I think would be even better. I would still probably need to install longer studs either way.
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Yes, those will be better yet. More thread engagement.