deductible

1 of 2

adjective

de·​duct·​ible di-ˈdək-tə-bəl 

dē-

: allowable as a deduction

expenses that are deductible from taxable income

deductibility

di-ˌdək-tə-ˈbi-lə-tē 

dē-;

noun

deductible

2 of 2

noun

plural deductibles

: the amount of financial loss specified in an insurance policy that the insurer will not be held responsible for and that the insurance holder must pay

The deductible on your insurance is the amount of money on an insurance claim you would pay before the insurance company pays. It's what you'll be paying out of pocket prior to the insurance coverage.

—Steve Fiorillo

also : a clause in an insurance policy that relieves the insurer of responsibility for an initial specified loss of the kind insured against

Examples of deductible in a Sentence

Adjective

The trip was deductible as a business expense.

Noun

I have an insurance policy with a $1,000 deductible.

Recent Examples on the Web

Adjective

Charitable donations must also be made by December 31 to be deductible on your 2025 tax return. —Michael Gfoeller and David H. Rundell, Newsweek, 15 Jan. 2025

Great Southern put its initial losses at nearly $75,000, and Charles ordered Williams to pay a fourth of the bank’s $25,000 insurance deductible. —Nick Ferraro, Twin Cities, 6 Jan. 2025

Noun

Launching The Predictive Sales Tool Baumann's team implemented this approach across 15 million records of automobile insurance quote data, involving a couple dozen attributes for each one, including demographics, vehicle data, deductibles and price. —Eric Siegel, Forbes, 13 Jan. 2025

The experience of that disaster and others has led to per-event deductibles (or excess) rising from 100 million euros to 400 million euros today. —Ganesh Rao, CNBC, 12 Jan. 2025

Word History

First Known Use

Adjective

1856, in the meaning defined above

Noun

1922, in the meaning defined above

Phrases Containing deductible

• tax-deductible

Legal Definition

deductible

1 of 2 adjective

de·​duc·​ti·​ble di-ˈdək-tə-bəl 

: allowable as a deduction

deductibility

-ˌdək-tə-ˈbi-lə-tē 

noun

deductible

2 of 2 noun

: a clause in an insurance policy that relieves the insurer of responsibility for an initial specified loss of the kind insured against

also : the amount specified in such a clause compare franchise sense 4a