deductible

B2
UK/dɪˈdʌktəbl/US/dɪˈdəktəb(ə)l/

Formal to Neutral; Common in business, financial, and administrative contexts.

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Definition

Meaning

An amount of money that must be paid by the policyholder before an insurance company will cover the remaining costs of a claim.

1. (Noun) A specific sum subtracted from an insured loss. 2. (Adjective) Capable of being deducted, especially for tax purposes.

Linguistics

Semantic Notes

As a noun, it is most commonly used in the context of insurance and healthcare. As an adjective, it is primarily used in finance and taxation. The meanings are closely related but belong to different syntactic categories.

Dialectal Variation

British vs American Usage

Differences

In British English, the noun form 'excess' is far more common than 'deductible' for insurance. The term 'deductible' is understood but marked as American. The adjective 'deductible' (tax-deductible) is standard in both.

Connotations

In the UK, 'deductible' sounds distinctly American or technical/legal. In the US, it is the standard, everyday term for the insurance concept.

Frequency

Very high frequency in US English (insurance, healthcare). Moderate frequency in UK English, primarily in its adjectival form or in multinational business contexts.

Vocabulary

Collocations

strong
insurance deductiblehigh deductiblelow deductibletax-deductiblemeet your deductible
medium
annual deductiblehealthcare deductibledeductible amountdeductible expenses
weak
car deductiblepolicy deductiblepay the deductibleapply the deductible

Grammar

Valency Patterns

have a [adjective] deductiblethe deductible is [amount][expense] is deductible (from [income/tax])

Vocabulary

Synonyms

Strong

excess (BrE for insurance noun)claim threshold (noun)

Neutral

excess (BrE noun)out-of-pocket cost (noun)allowable (adj)

Weak

copay (related but distinct noun)contribution (noun)subtractable (adj)

Vocabulary

Antonyms

non-deductiblenon-allowableineligible expense

Usage

Context Usage

Business

Discussions of employee benefits, corporate insurance policies, and expense reporting.

Academic

Used in economics, public policy, or law papers discussing healthcare systems or tax codes.

Everyday

Talking about personal health insurance, car insurance claims, or charitable donations on tax returns.

Technical

Precise definitions in insurance contracts, tax legislation, and financial advisement documents.

Examples

By Part of Speech

adjective

British English

  • Charitable donations are tax-deductible in the UK.
  • Not all business travel expenses are deductible.

American English

  • These mortgage interest payments are tax-deductible.
  • Only medically necessary procedures are deductible.

Examples

By CEFR Level

B1
  • My car insurance has a $500 deductible.
  • Is this donation deductible on my taxes?
B2
  • Before choosing a plan, compare the monthly premium against the annual deductible.
  • The cost of repairing the damage was less than my deductible, so I paid for it myself.
C1
  • High-deductible health plans are often paired with health savings accounts (HSAs).
  • The court ruled that the lobbying expenses were not deductible as ordinary business costs.

Learning

Memory Aids

Mnemonic

Think: You DEDUCT the DEDUCTIBLE. Before insurance kicks in, you must deduct this amount from your claim.

Conceptual Metaphor

A THRESHOLD/GATEWAY. The deductible is the financial threshold you must cross before receiving full coverage.

Watch out

Common Pitfalls

Translation Traps (for Russian speakers)

  • Do not confuse with 'вычет' in all contexts. For insurance, the British term 'excess' is closer to 'франшиза' (franchise). The adjective 'deductible' (налоговый вычет) is less problematic.

Common Mistakes

  • Using 'deduction' instead of 'deductible' for the insurance noun (e.g., 'My deduction is £500').
  • Confusing 'deductible' (what you pay) with 'copay' (a fixed fee per service).
  • Using the adjective form without a hyphen in compound modifiers (e.g., 'tax deductible' should be 'tax-deductible').

Practice

Quiz

Fill in the gap
Before the insurance company pays anything, you must first pay the out of your own pocket.
Multiple Choice

In which sentence is 'deductible' used as an adjective?

FAQ

Frequently Asked Questions

A deductible is an amount you pay annually for covered services before your insurance starts to pay. A copay (or copayment) is a fixed fee you pay for a specific service (like a doctor's visit) even after meeting your deductible.

As a noun meaning the insurance payment threshold, it is vastly more common in the US. In the UK, 'excess' is the standard term. The adjective 'tax-deductible' is common in both.

No. The verb form is 'deduct'. 'Deductible' is only a noun or an adjective.

It means you are responsible for paying the first £1000 of covered expenses in a given period (usually a year). After you have paid that amount, your insurance will begin to share the cost according to your policy terms.