Deductibles serve to

Question

Quizplus · Accepted Answer

Deductibles are a way for insurance companies to lower their costs and provide lower premiums by shifting some of the expenses for handling small claims to the policyholder. By requiring the policyholder to pay a portion of the claim before their insurance kicks in, the insurance company can save on administrative costs and avoid paying out small claims. This benefits the customer because they get lower premiums in exchange for taking on more risk for small expenses.

Deductibles Serve to