What is Co-Insurance?

What Is Co-Insurance?

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The Short Answer: Co-Insurance is way to split payment for specific services between you and your insurer. Typically only certain high cost services will have a co-insurance payment, like hospitalization. With a co-insurance amount (usually a percentage of the allowable charge), you will always pay that percentage each time you use that specific service.

If you haven’t checked out our blog on co-pays, go take a look at that. Basically, co-insurance is like a co-pay, but a percentage instead of a dollar amount. For example, if my health insurance has 70% co-insurance, that means when I go see the doctor, my health insurance will pay 70% of the total bill and I pay the remaining 30%. So if the total bill is $1000, my insurance will pay $700 and I will have to pay $300.

Sometimes (depending on your plan) the co-insurance percentage will change before and after your deductible. Sometimes the co-insurance values are always the same. This can be misleading because many people think that after they hit their deductible, they don’t pay anything. But, if they have 70% coinsurance that goes beyond the deductible, they will always have to pay that 30%. So sometimes hitting your deductible does not mean everything is covered. You may still have that co-insurance percentage.

However, uMedMarket is simpler. What you see is what you pay. If you want multiple services, you just add up the prices we show you. You get a big discount because you pay cash. It’s uMedMarket. It’s Simple.