aggregate deductible

An **aggregate deductible** is a type of insurance deductible that sets a cumulative amount the policyholder must pay out-of-pocket for covered claims within a policy period before the insurer begins to pay. Unlike a per-claim deductible, which applies to each individual claim, an aggregate deductible applies to the total of all claims combined. Once the aggregate deductible is met, the insurance company covers the eligible expenses for the remainder of the policy term. This concept is commonly used in health, liability, and commercial insurance policies.