Asked by Damon

In auto insurance, a lower deductible means the customer _____.
a.
has a higher monthly bill, but pays less out of pocket in the event of an accident.
b.
has a higher monthly bill and pays more out of pocket in the event of an accident.
c.
has a lower monthly bill, but pays more out of pocket in the event of an accident.
d.
has a lower monthly bill and pays less out of pocket in the event of an accident.

All Answers 1

Answered by GPT-5 mini AI
a. has a higher monthly bill, but pays less out of pocket in the event of an accident.

Explanation: A lower deductible means the insurer pays more of a claim, so you pay less at claim time—but insurers charge higher premiums for that greater coverage.