An Overview of Health Insurance Deductible


What is a health insurance deductible?

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A health insurance deductible is a fixed dollar amount that you need to pay for health care before your health insurer will start paying its share. These shared costs apply whether you see a doctor in or out-of-network.

After you’ve paid your health insurance deductible for the year, your health insurer will usually pay a percentage of the remainder of the cost of covered health care services. That’s called coinsurance. For example, after you’ve paid your health insurance deductible, your health insurer might cover 80% of the cost of a service, and you would be responsible for the remaining 20%.

This general overview should give you an idea of what to expect with a health insurance deductible. However, it’s important to read the details of your health insurance policy to understand how these costs work for you. Reviewing your policy each year is also a good idea, since health insurance deductible and other costs may change from one year to the next.

So, what’s the importance of health insurance deductible?

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There are a few reasons why health insurance deductible is important. First, paying your health insurance deductible helps you become familiar with the costs of health care. This can help you be more thoughtful about when and how you seek care. Second, meeting your health insurance deductible each year may help you keep your health insurance premiums down. Finally, if you have a serious health event, meeting your health insurance deductible may help reduce the financial burden.

No matter what your health insurance deductible is, it’s important to know that it’s an upfront cost that you’re responsible for before your insurer starts sharing in the costs of care. So, before you receive any care, make sure you understand how much of the bill you’ll be responsible for and whether your health care provider is in or out-of-network.

This article is for general informational purposes only and is not meant to replace the advice of a health insurance agent or health insurer. Reviewing your health insurance policy and understanding how it works is always a good idea. Health insurance deductible may be an upfront cost that you are responsible for before your insurer starts sharing in the costs of care. Make sure you understand how much of the bill you will be responsible for before you receive any care. Reviewing your health insurance policy each year is also a good idea, since health insurance deductible and other costs may change from one year to the next.

No matter what your health insurance deductible is, it’s important to know that it is an upfront cost that you are responsible for before your health insurer starts sharing in the costs of care. So, before you receive any care, make sure you understand how much of the bill you will be responsible for.

If you have a serious health event, meeting your health insurance deductible may help reduce the financial burden.

Before you receive any health care, make sure you understand how much of the bill your health insurer will cover after you’ve paid your health insurance deductible. Reviewing your health insurance policy each year is a good idea, since health insurance deductible and other costs may change from one year to the next.

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