Make sure to account for this cost whenever you access healthcare services (1).īecause this is a fixed cost, your health insurance plan’s summary of benefits (SOB) should tell you how much it will be. Last but not least, it’s important to remember that even after you have met your deductible, you will still always have to pay your copays. Brand name medications are normally more expensive, so this is another scenario you might encounter that will require a copay greater than $20 (1). (You would have noticed it, but you were too busy running from the snake.) The local pharmacy only has the brand name drug, not the generic.
COPAY VS COINSURANCE PATCH
Or imagine you get a nasty allergic reaction from running through a patch of poison ivy.
![copay vs coinsurance copay vs coinsurance](https://www.petmd.com/sites/default/files/annual-deductible-table1-lrg.jpg)
This could trigger a copay of maybe $50 instead of $20 (1). Since you are away from home, you may have to see an out-of-network doctor. Examples to Help You Understand Your Copay’s Meaningįor example, if you are backpacking across the Rocky Mountains and happen to get bit by a very cute, but mean, snake in Colorado. Some of them are doctor’s visits, physical therapy and mental health appointments, prescriptions, and hospital services (2).Įven though your copay will usually only be about $20, there are a few scenarios where it may be a little more. There are lots of services that will likely have a copay. This amount is normally between $20 and $30 (1, 2, 3). This means you will cover a portion of the cost of your healthcare service and they will cover the other portion.Ī copay (aka copayment) is a fixed amount of money you spend each time you get a specific service. Essentially, copays and coinsurance are a form of cost-sharing between you and your insurance company (1,2).
![copay vs coinsurance copay vs coinsurance](https://is4fun.com/images/31741a471beffb888af1f2da80f7e93c.png)
![copay vs coinsurance copay vs coinsurance](https://aeroflowinc.com/app/uploads/2020/05/Insurance_Infographic_Claim1.png)
While these are actually two separate things, they serve the same function, so we’ll lump them together. I’m happy to see you back for Part 2 of my Back to the Basics series! If you haven’t read Part 1, which is an overview of deductibles, don’t worry! We’re looking at two whole new concepts today: copay meaning vs coinsurance meaning. Facebook Tweet Pin Even though the copay meaning and coinsurance meaning are very similar, there are some important differences you need to know in order to use your health insurance plan while keeping your costs manageable.