Who typically pays the deductible in a liability insurance policy?

In a liability insurance policy, the first-named insured typically pays the deductible. This is because the deductible is specified in the terms of the policy and is the amount that the insured must pay out of pocket before the insurance coverage kicks in.

Liability insurance is designed to protect the insured from claims made by others for damages or injuries they may cause to a third party. When a claim is filed, the first-named insured, who is often the primary policyholder, is responsible for any deductible that applies to the claim. This amount is deducted from the total payout made by the insurer to settle the claim.

Understanding the role of the first-named insured is crucial, as it emphasizes their responsibility in the event of a claim. While the insurer ultimately pays the claim after the deductible is met, the first-named insured must cover that initial out-of-pocket expense.