$5,000 is the amount she will pay out of pocket on her annual medical bills.
Basically, the term of Deductible is used in Insurance. The amount of deducible refrain the Insurer from liability until a certain level of liability is reached.
In health Insurance, having a deductible of $5,000 on one's policy means the health plan benefits will start after one pays $5,000 out of his pocket.
Information given
Deductible = $5,000
Total claim = $49,000
Therefore, the Option C is correct because $5,000 is the amount she will pay out of pocket on her annual medical bills.
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