All this talk of health insurance can be confusing, especially if you don’t know what some of the terms mean. Here are some of the most common health insurance terms used to help you understand what they are.
A deductible is the amount you owe for health care services before your health insurance kicks in. For example, I have a $500 deductible, so if I needed surgery I would have to pay $500 before my insurance covered the rest.
A copay is the amount you pay for a medical service or item. For example, I have a $35 copay so everytime I go to the doctor I pay $35 for their services.
The percentage of covered expenses under a major medical plan that is paid once a deductible is satisfied. The most common coinsurance is 80 percent. A provision whereby a property owner must share in a loss if the amount of insurance carried is less than a specified percentage of value. A reinsurance arrangement in which a primary life insurance company cedes a specified percentage of the face amount of a policy or block of policies to a reinsurer.
Your premium is the amount you pay monthly for your health insurance plan. Generally, the higher the premium, the better health coverage you have.
See more of our insurance terms here.
At LifePlan Financial, we pride ourselves on our quality work, our honesty to our clients, and the reliability we provide. Getting health insurance doesn’t have to be a hassle when you use LifePlan Financial. Contact us today for any questions or get a quote to get started.