What is the amount you must pay before you begin receiving any benefits from your insurance company?

What is the amount you must pay before you begin receiving any benefits from your insurance company?

• A. Deductible
• B. Premium
• C. Co-payment
• D. Coinsurance

Answer: (A)

The amount you must pay before benefits kick in is the deductible. In most health insurance plans, you pay out of pocket for covered services until you reach your deductible amount, and only then does the insurer start paying according to the plan. Premium is the regular payment to keep the policy active, not tied to when benefits begin. A co-payment is a fixed fee you pay for a service at the time of care, usually after you’ve started receiving benefits. Coinsurance is the share of costs you pay after meeting the deductible, typically a percentage. So the deductible is the portion that must be paid first before any benefits are paid by the insurance.

The amount you must pay before benefits kick in is the deductible. In most health insurance plans, you pay out of pocket for covered services until you reach your deductible amount, and only then does the insurer start paying according to the plan. Premium is the regular payment to keep the policy active, not tied to when benefits begin. A co-payment is a fixed fee you pay for a service at the time of care, usually after you’ve started receiving benefits. Coinsurance is the share of costs you pay after meeting the deductible, typically a percentage. So the deductible is the portion that must be paid first before any benefits are paid by the insurance.