Family Deductible


A family deductible is the amount of money a family must collectively spend on health care before the insurance company will start helping to pay for the health care costs of all members of the family. For large families, this number is much smaller than the total of each family member's individual deductibles added up.


In a family of five, the individual deductible may be $500 and the family deductible $1500. Once $1500 total has been spent on health care by various members of the family, insurance covers the care for all members, even if some members of the family have not yet spent $500 on their individual health care services.