franchise clause

franchise clause. Insurance. A provision in a casualty insurance policy stating that the insurer will pay a claim only if it is more than a stated amount, and that the insured is responsible for all damages if the claim is under that amount. • Unlike a deductible, which the insured always has to pay, with a franchise clause, once the claim exceeds the stated amount, the insurer pays the entire claim.

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词条贡献者

双语律师李明，国际知名法学院法律专业，擅长翻译各类与政府监管相关的法律文件。