Christi Brown is meeting with you regarding the bill she received in the mail. When she called to make the appointment, she voiced her confusion about the bill, stating she thought her insurance covered everything. You check her record and see that she met her deductible and now needs to pay 20% of the billed amount of $850. How can you explain how much she owes, as well as the difference between deductible and coinsurance?

Answer:

The correct answer is - she owes $170.

Explanation:

Health care beneficiaries bills can be divided into two different criteria, they include Co-pay or Co-insurance and deductibles. Co-insurance is an amount that should be born by the patient and the rest will be paid by the insurance companies. On other hand, Deductible is a criterion in which deductible fixed amount a patient must pay each year before their health insurance benefits begin to cover the costs.

So in this question, the 20% of hospital/health care bills is the co-insured amount that should be paid by Christi Brown and the rest will be born by the insurance company.

so she owes:

20*850/100 = 170.

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