Insurance Policies with Deductibles

Many health insurance policies carry a deductible. It is the amount below which the insurance company has no responsibility. Only claims above this deductible amount will be compensated by the insurance company. There are two general types of deductibles: deductible per claim and deductible per period. Some policies specify that whenever we consult a medical professional, we have to pay $x before our insurance kicks in. In other words, such a deductible is applied to every insured event, and is known as a deductible per claim. Other policies provide that our total claims within a period (usually a year) must be at least $y before the insurance company will pay anything. This is an example of a deductible per period.