Out-of-Pocket
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Expenses you pay yourself that aren't reimbursed.
Definition
Out-of-pocket expenses are costs you pay yourself that insurance doesn't cover. This includes deductibles, copays, and any costs exceeding your coverage limits. Understanding your potential out-of-pocket costs helps you choose appropriate coverage levels.
Example
With a $500 deductible and the repair costing $3,000, his out-of-pocket expense was $500.
More General Terms Terms
The amount you pay for your insurance policy.
The amount you pay out-of-pocket before insurance kicks in.
The contract between you and your insurance company.
A request for payment under your insurance policy.
The protection provided by your insurance policy.
The maximum amount an insurer will pay for a covered loss.
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