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Deductible

The amount or percentage assigned to the policyholder before the insurer pays a covered loss, subject to policy terms.

Last updated: August 11, 2026Informational guidance

Plain-English meaning

The amount or percentage assigned to the policyholder before the insurer pays a covered loss, subject to policy terms.

Why it matters

Different deductibles can make a low premium much more expensive after a loss.

Where you may see it

Declarations, peril endorsements, quote summaries, and catastrophe notices.

What to verify

Flat versus percentage, the percentage base, separate peril triggers, and whether multiple deductibles can apply.

Do not confuse it with

A coverage limit, which caps what the policy may pay.

For policy-specific meaning, read the definition and related provision in the issued policy.