Full-text transcript of the infographic:
Health Insurance Terms You Need to Know
Do you know the ABCs of health insurance? With a good understanding of common health care buzz-words, it will be easier to find an insurance plan that meets your needs – and fits within your budget.
Premium:
The amount you pay the health insurance company to keep your coverage.
Copayment:
A flat fee you pay upfront for doctor visits, prescriptions, and other health care services. Also known as copay.
Out-of-Pocket Maximum:
The limit or maximum amount you can be charged for all in-network health care services in a year.
Deductible:
The amount you pay out of pocket before your health insurance starts to cover costs.
Coinsurance:
The percentage you pay for the cost of covered health care services, after you meet your deductible.
When shopping for a plan, keep in mind these helpful tips and facts:
A good rule of thumb is to select a plan with a deductible that’s no more than 5% of your gross annual income.
The deductible is tied to the premium. Low deductible = higher premium, and vice versa.
Deductible + Copayments + Coinsurance = Out-of-Pocket Maximum
Provided by TIG Advisors. © 2021 Zywave, Inc. All rights reserved.
