Answer :
When it comes to deductibles in insurance policies, the following statements hold true:
A. With a [tex]$500 deductible, the insurer pays the first $[/tex]500 of any claim. This statement is generally true. A deductible is the amount you have to pay out of pocket before your insurance company starts to contribute towards a covered expense. So, with a [tex]$500 deductible, you would pay the first $[/tex]500 of a claim before the insurer begins to cover costs.
D. Policies with lower deductibles have higher premiums. This statement is generally true as well. Insurance policies with lower deductibles tend to have higher premiums because the insurance company is taking on more of the financial risk upfront, which leads to higher monthly or annual payments for the policyholder.
In summary, deductibles in insurance policies determine how much you have to pay before your insurance kicks in, and policies with lower deductibles usually come with higher premiums.
A. With a [tex]$500 deductible, the insurer pays the first $[/tex]500 of any claim. This statement is generally true. A deductible is the amount you have to pay out of pocket before your insurance company starts to contribute towards a covered expense. So, with a [tex]$500 deductible, you would pay the first $[/tex]500 of a claim before the insurer begins to cover costs.
D. Policies with lower deductibles have higher premiums. This statement is generally true as well. Insurance policies with lower deductibles tend to have higher premiums because the insurance company is taking on more of the financial risk upfront, which leads to higher monthly or annual payments for the policyholder.
In summary, deductibles in insurance policies determine how much you have to pay before your insurance kicks in, and policies with lower deductibles usually come with higher premiums.
