Coinsurance represents what aspect of healthcare costs?

Coinsurance is a cost-sharing arrangement in health insurance that requires the insured to pay a specified percentage of covered healthcare expenses after they have met their deductible. This means that once the deductible, which is the amount patients must pay out-of-pocket for healthcare services before their health insurance begins to pay, has been satisfied, the coinsurance kicks in. For instance, if a patient has a coinsurance rate of 20%, they will be responsible for paying 20% of the costs of any covered medical services after the deductible is met, while the insurance company covers the remaining 80%.

The other options do not accurately define coinsurance. The total fee for a medical procedure relates to the overall billing of that procedure, which is not specific to how costs are shared between the patient and the insurer. The fixed cost for a primary care visit refers to copayment or copay, which is a predetermined amount a patient pays for a specific service rather than a percentage of the costs. The out-of-pocket maximum is the limit on the total amount a patient has to pay in a year for covered services; this is a separate concept from coinsurance.