A deductible is the amount of eligible expenses you must pay out of your own pocket before your insurance plan begins to reimburse you. For example, if your plan has a $200 annual drug deductible, you pay the first $200 of prescription costs each year before your insurer starts covering its share. Deductibles can apply per person, per family, per benefit category (drugs, dental, paramedical), or as an overall combined deductible. Plans with higher deductibles typically have lower monthly premiums, and vice versa. In Canadian individual health insurance, deductibles are common on drug benefits and are sometimes applied to dental or extended health benefits as well. Provincial drug programs like Manitoba Pharmacare and BC Fair PharmaCare also use income-based deductibles.