Definition, Meaning & Synonyms
deductible
noun
/dɪˈdʌktɪbəl/
Definition
An amount that must be paid out of pocket before an insurance provider will cover the remaining costs.
Examples
- The deductible for my health insurance is $1,000.
- She didn’t realize that her car insurance had a high deductible until she had to file a claim.
- To keep premiums low, he chose a policy with a higher deductible.
Meaning
In the context of insurance, a deductible is the part of a claim that the insured individual must pay themselves before receiving any payment from the insurance company.
Synonyms
- excess
- out-of-pocket expense
- self-insured retention
