Insurance

What is a Deductible?

Deductible

[dih-duhk-tuh-buh l]

noun

1.

A Deductible is the amount of money a policyholder must pay out of pocket before any insurance payments are made. For example, if repairs to a personal vehicle cost $1,000, but the Deductible on that Policy is $500, the policyholder must pay $500 toward the repairs before the insurance company covers the other $500.

Have A Question About This Topic?

Thank you! Oops!
 

Related Content

The Latte Lie and Other Myths

The Latte Lie and Other Myths

Check out this video to begin separating fact from fiction.

What is a Loss?

What is a Loss?

Do you know what a Loss is?

Medicare Advantage Plans (Medicare Part C)

Medicare Advantage Plans (Medicare Part C)

Medicare Part C allows you to choose a Medicare Advantage plan. This article will help you decide if it's right for you.