The amount of risk you assume when opting for certain policy deductibles.
The more deductible risk you’re willing to assume on your own, the less your insurer has to take on, and the lower your insurance premiums will be. That is because, from the insurance company’s point of view, when you assume more risk, you’re less likely to file insurance claims.
Some insurance policies carry little to no deductible. Deductible risk on others is set at standard levels. When given the option of carrying a higher or lower deductible, make your selection based on financial tolerance, life situation, and flexibility.