9
QuizMultiple Choice

Insurance and Financial Protection — Quiz

Question 9 • Personal Finance

How does a high deductible affect financial responsibility?

Answer
A
Increases upfront costs
B
Reduces cost immediately
C
Eliminates payments
D
Guarantees coverage

Explanation

A deductible is the amount you must pay yourself before insurance begins covering eligible costs. A higher deductible therefore means you may have to pay more upfront when you make a claim. It does not eliminate payments or guarantee coverage.

AI-written and checked against the verified answer.

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