What does deductible mean?
noun
A part of an insurance policy that the policyholder must pay before the insurance company will pay a claim. The amount that the policyholder must pay before the insurance company will pay a claim.
Example
"The deductible for the car insurance policy was $500, so the policyholder had to pay the first $500 of any damages before the insurance company would cover the rest."
Definition generated by AI and curated by RJS Tech Solutions LLP.