Which cost-sharing component begins after the deductible is satisfied?

Which cost-sharing component begins after the deductible is satisfied?

• A. Coinsurance
• B. Copayment
• C. Premium payment
• D. Deductible

Answer: (A)

Coinsurance is the cost-sharing that kicks in after you’ve satisfied your deductible. The deductible is the amount you pay first toward covered services, and once that threshold is met, the plan starts sharing costs with you by applying a coinsurance percentage to covered expenses up to the out-of-pocket maximum. Copayments are fixed amounts for specific services and can apply before or after deductible depending on the plan, so they aren’t the component that consistently begins after the deductible. Premiums are regular payments to keep the policy active and aren’t tied to when cost-sharing starts for a particular service.

Coinsurance is the cost-sharing that kicks in after you’ve satisfied your deductible. The deductible is the amount you pay first toward covered services, and once that threshold is met, the plan starts sharing costs with you by applying a coinsurance percentage to covered expenses up to the out-of-pocket maximum. Copayments are fixed amounts for specific services and can apply before or after deductible depending on the plan, so they aren’t the component that consistently begins after the deductible. Premiums are regular payments to keep the policy active and aren’t tied to when cost-sharing starts for a particular service.