deductible

word

Definition

An amount of money that you must pay yourself before an insurance company will pay the rest of a claim. It can also mean something that can be taken away or subtracted, especially for tax purposes.

Usage & Nuances

Most common in insurance contexts: 'health insurance deductible', 'auto insurance deductible'. In tax contexts, 'deductible expenses' means costs you can subtract from taxable income. Not used for general discounts.

Example Sentences

The deductible for my car insurance is $500.

basic

You must pay the deductible before the insurance company covers the rest.

basic

Her health plan has a high deductible.

basic

I paid my deductible, and then the insurance company took care of the rest.

natural

If your deductible is too high, you might end up paying a lot out of pocket.

natural

Some expenses are deductible on your taxes if you keep the receipts.

natural