23
QuizMultiple Choice

N/A — Exam

Question 23 • Economics

Most often, an insurance deductible must be fulfilled

Answer
A
after a company has paid a claim.
B
when sharing the cost of a payout.
C
when signing up for an insurance plan.
D
before insurance payouts begin.

Explanation

A deductible is the amount the insured person must pay out of pocket for covered costs before the insurance company starts paying. For example, with a $500 deductible, you generally pay the first $500 of a covered claim, and then insurance begins to pay according to the policy. So the deductible must be fulfilled before insurance payouts begin.

AI-written and checked against the verified answer.

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