Deductible
Insurance Glossary
The amount a policyholder pays out of pocket on a covered claim before the insurer pays the rest. Raising a deductible lowers the premium and lowers what the insurer owes on each claim. Auto policies usually apply a flat dollar deductible per claim, while home policies may apply a percentage of the dwelling limit for wind, hail or hurricane losses.
This content is for general informational purposes only and is not insurance, legal, or financial advice. Coverage, exclusions, eligibility, and pricing vary by insurer, by policy, and by state, and only the policy documents control what is covered. Always confirm the details of any coverage with a licensed insurance agent or the issuing carrier before you buy.
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