Friday, September 19, 2008

Insurance Lingo

Do you understand your insurance lingo? If you do, count yourself lucky (and good at word puzzles). If you don' on.

Familiarize yourself with these common terms.

Copay: The amount you owe for a medical expense at the time the service is rendered. For example, your policy might require a $10 co-pay per doctor's visit.

Deductible: The total amount you must pay for health expenses before your health insurance begins to cover costs. Generally, the higher your deductible, the lower your premium.

Exclusion: Medical services that are not covered under an insurance plan. For example, a plan may not cover plastic surgery or certain kinds of drugs.

Lifetime maximum benefits: The top amount a plan will pay over your lifetime. Maximums generally range from $1 million to $5 million.

Premium: The periodic amount you pay for your policy.

Provider: The person or facility that gives health-care services. Providers can include doctors, therapists, hospitals, labs and clinics.

All You magazine, August 29, 2008, Page 163

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