Insurance policies insert co-pays and deductibles as tools to lower premiums and discourage appropriateness of extraneous services. There are two types of deductibles, per year and per event, and two types of co-pays, the average co-pay and co-insurance. These two types of charges are seperate and unless your insurance policy specifically states otherwise, your co-pay does not count toward your deductible.
Co-pay
A co-pay is a set fee you pay at the time of service, usually between $15 and $40 as of June 2011. This amount is not part of the deductible, but a separate obligation. For instance, if you had a $400 yearly deductible and a $15 co-pay, for a $300 doctor's visit you would pay your $15 co-pay and then $285 of your $400 deductible.Once you obtain paid the deductible for the year, you won't be charged for it again until the closest year. Whether you get a co-pay, but, you Testament admit to recompense your co-pays for Everyone advantage you catch.
Per Incident Deductible
Per complication deductibles must be paid Everyone age you posses illness or injury. For instance, whether you broke your foot, you would compass to stipend your deductible before the insurance coverage would launch to embrace your bills. But, once you've paid the deductible, all visits related to your broken foot would be covered without an more deductible, including follow-up X-rays and physical therapy, much whether you are going to clashing doctors. Provided you have a co-pay, you will have to pay it once the insurance kicks in.
Per Year Deductible
You must get your own health interest expenses up to the per year deductible annually before your health insurance kicks in. The year, for insurance purposes, begins at the hour your policy coverage starts.At a subsequent $300 visit you would pay another $15 co-pay and the remaining $115 of your deductible, while your insurance would pay the remaining $170. At any additional visits, you would pay only your $15 co-pay.
Co-insurance
Co-insurance is a specific type of co-pay in which you pay a percentage of any bill the insurance covers. Again, you pay the deductible before the insurance and co-insurance payments kick in. For instance, say you have a deductible of $400, a co-insurance rate of Twenty percent and a bill of $1,000. You would pay the $400 deductible and then Twenty percent of the remaining $600, making your total liability $520 and the insurance covering the remaining $480.
