GLOSSARY · INSURANCE
Coinsurance
Your share of the cost of a covered health service, stated as a percentage of the plan's negotiated price, which you usually pay after meeting the deductible. Unlike a copay, which is a fixed amount, coinsurance rises with the price of the service. It stops once you reach the plan's out-of-pocket maximum for the year.
Also called: co-insurance, cost sharing percentage
FORMULA
Coinsurance owed = coinsurance rate × negotiated price of the service
COMPUTE IT WITH YOUR NUMBERS
LEARN IT PROPERLY
CHAPTER · HEALTH INSURANCE OPTIMIZATION · DEEP DIVEHow Health Plans Work: Networks, Plan Types and Cost SharingCHAPTER · HEALTH INSURANCE OPTIMIZATION · DEEP DIVEThe True Cost of a Health PlanRELATED TERMS
SOURCES
- Co-insurance (glossary). HealthCare.gov, Centers for Medicare & Medicaid Services.