Coinsurance

Coinsurance is a cost-sharing arrangement in insurance policies where the policyholder and the insurance company share the costs of covered healthcare services. It typically involves the policyholder paying a percentage of the total cost of services, while the insurance company pays the remaining percentage. Coinsurance is often applied after the policyholder has met their deductible. The percentage split between the policyholder and the insurance company varies depending on the specific insurance plan and the type of service received. Coinsurance helps distribute healthcare expenses more evenly between the insured individual and the insurance provider, reducing the financial burden on both parties.