What is an insurance deductible?

An insurance deductible is the amount that an insured person must pay before their insurance company will provide coverage for a claim. In Mississippi, there are two types of insurance deductibles: per incident and annual deductibles. A per incident deductible is the amount that must be paid for each separate incident or claim that is filed. An annual deductible is the amount that must be paid each year before the insurance company will provide coverage for any claim. The amount of an insurance deductible is based on the terms of the policyholder’s insurance contract. Generally, higher deductibles will result in lower monthly premiums, while lower deductibles will result in higher monthly premiums. Insurance deductibles can vary depending on the type and amount of coverage required by the policyholder. In Mississippi, insurance companies are required to provide their policyholders with information about their coverage and deductibles. It is important to understand the amount of the deductible before mentioning a claim. If the deductible is too high to afford, the policyholder may be unable to pay for the claim.

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What is an insurance deductible?

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