The paper focuses on transcendental meromorphic solutions of Riccati and hyper-Riccati equations and their value distribution properties. Special attention is paid to deficient values in various senses, in particular to deficient values in the sense of Petrenko in the case of solutions of finite order. The question of small deficient functions is also considered. The estimates of deficiencies, multiplicity indices and, in the case of functions of finite order, also deviations from small functions are presented. K E Y W O R D S meromorphic function, Riccati equation, value distribution M S C ( 2 0 1 0 ) 30D35, 34M05