Scenario: I pay X amount of dollars per month for car insurance. I have all 4 tires stolen from my vehicle overnight. I submit a claim with my insurance company to repair any damages. I now pay a **hefty** X amount of dollars for the event that has occurred.
In: Other
Insurance is risk transfer. You pay a premium to transfer an amount of risk for particular things (example: Fire). It would be easier to think of a deductible as the amount of risk that you do not transfer (risk that is retained).
In regards to your current situation, the dollar amount of the deductible is one that you have chosen and agreed to. You could have had a lower one and it likely would not have been significantly more expensive.
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