Which type of deductible requires the insured to pay a specific dollar amount before coverage kicks in?

The option stating dollar deductible is accurate because it specifies a set amount that the insured must pay out-of-pocket before the insurance coverage applies. This means that when a claim is made, the insured must first fulfill this financial obligation before the insurer begins to cover the remaining costs. The dollar deductible is straightforward and common in many insurance policies, providing clarity for both the insured and the insurer regarding what portion of the loss the insured is responsible for.

On the other hand, a percentage deductible is based on a percentage of the total claim amount or the insured value of the property, which can lead to variable amounts that depend on the circumstances of each specific claim. A time deductible relates to a period that must pass before coverage is effective, rather than a monetary amount. Lastly, a fixed deductible can sometimes be used interchangeably with a dollar deductible, but it generally emphasizes a non-variable sum that the insured must pay, thus reinforcing the concept of a dollar figure in the definition provided by the question.