What is a Deductible?

One of the words most of us know when it comes to insurance is deductible. Despite this, one of the questions we hear on a regular basis is this: “What is a deductible?” Or, at best, “How does my deductible work?” While we are all familiar with the term, it is one of those words that seems to create confusion rather than clarity. So let’s dig into what exactly a deductible is, and what it means for your auto and home policies.