What Is A Deductible In Health Insurance?
A deductible is the amount of money you pay out-of-pocket for your medical expenses before your health insurance company will begin to pay for your covered medical expenses. This can be a fixed dollar amount or a percentage of the total cost of your medical bills. Deductibles can vary from plan to plan and are typically set by employers who offer health insurance as a benefit.
What Does a Deductible Mean?
In short, a deductible is the amount of money you are responsible for paying before your health insurance will kick in and cover the rest of your medical expenses. For example, if you have a deductible of $2,000, you will be responsible for paying the first $2,000 of your medical expenses before your health insurance company will start paying. In other words, if you have a $2,000 deductible, you will have to pay $2,000 out-of-pocket before your health insurance kicks in.
What Are the Different Types of Deductibles?
There are two main types of deductibles: a fixed-dollar deductible and a percentage-based deductible. A fixed-dollar deductible is a set amount of money that you are responsible for paying before your health insurance will kick in and cover the rest of your expenses. A percentage-based deductible is a percentage of the total cost of your medical bills that you are responsible for paying before your health insurance will kick in.
Do I Have to Pay My Deductible Every Year?
No, you do not have to pay your deductible every year. Deductibles are typically set for the year, so if you don't meet your deductible in one year, it will roll over to the next year. However, depending on your health insurance plan, you may be required to pay a portion of your deductible each year in order to keep your health insurance active.
What Does a Deductible Cover?
Deductibles typically cover medical services and treatments that are covered under your health insurance plan. This can include doctor's visits, hospital stays, prescription medications, lab tests, and other medical procedures. However, depending on your plan, some services may not be covered and you may have to pay out-of-pocket for those.
What Are Some Examples of Deductibles?
Some examples of deductibles are: $500, $1,000, $2,000, $5,000, 10%, 20%, and 30%. The amount you will pay for your deductible will depend on your health insurance plan and the type of plan you have. Some plans may also have a combination of fixed-dollar and percentage-based deductibles.
What Happens If I Don't Pay My Deductible?
If you don't pay your deductible, your health insurance company will not cover your medical expenses. You will be responsible for paying all of your medical expenses out-of-pocket. This can be costly, so it is important to make sure you pay your deductible when it is due.
Can I Get Help Paying My Deductible?
Yes, there are a few ways to get help paying your deductible. Some employers may offer deductible reimbursement programs, which can help cover a portion of your deductible. Additionally, some health insurance plans may offer assistance programs for individuals who cannot afford to pay their deductible. Finally, some states may offer assistance programs for individuals who need help paying their health insurance deductibles.
What Should I Do If I Have Questions About My Deductible?
If you have any questions about your deductible, the best thing to do is to contact your health insurance company. They will be able to provide you with the most up-to-date information about your health insurance plan and answer any questions you may have. Additionally, you can speak with a health insurance agent or broker who can help you understand your health insurance plan and deductible.