1. What is Coinsurance?

Coinsurance is the percentage of costs of a covered healthcare service that the patient pays after meeting their deductible. It's a form of cost-sharing between the insurance company and the policyholder.

2. How Does the Calculator Work?

The calculator uses the coinsurance formula:

Where:

• \( Claim\ Amount \) — Total amount of the insurance claim in dollars
• \( Coinsurance\ \% \) — Percentage of the claim amount the patient is responsible for

Explanation: The equation calculates the patient's out-of-pocket payment by applying the coinsurance percentage to the total claim amount.

3. Importance of Coinsurance Calculation

Details: Understanding coinsurance payments helps patients budget for healthcare expenses and compare insurance plans based on their expected healthcare needs.

4. Using the Calculator

Tips: Enter the total claim amount in dollars and the coinsurance percentage (without the % sign). Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: How is coinsurance different from copay?
A: Copay is a fixed amount per service, while coinsurance is a percentage of the total cost.

Q2: Does coinsurance apply before or after deductible?
A: Coinsurance typically applies after you've met your annual deductible.

Q3: What's a typical coinsurance percentage?
A: Common coinsurance rates are 20%, but they can range from 10% to 50% depending on the plan.

Q4: Is there an out-of-pocket maximum for coinsurance?
A: Yes, most plans have an annual out-of-pocket maximum that includes coinsurance payments.

Q5: Does coinsurance apply to all services?
A: No, some preventive services may be covered 100% without coinsurance.