This type of deductible provision waives the deductible for all family members after some have satisfied individual deductibles within the same year.

• A. Carryover provision
• B. Family maximum deductible
• C. Embedded deductible
• D. Per-episode deductible

Answer: (B)

Family maximum deductible means there is a cap on what the family must pay toward deductibles in a year. Once enough members’ individual deductibles are met so the total deductible payments reach that family cap, the deductible is waived for all family members for the rest of the year. This lets the plan move into benefits without any further deductible charges once the family threshold is reached.

For example, if the family maximum deductible is $3,000 and the family’s combined deductible payments reach $3,000 earlier in the year, any subsequent eligible medical claims by any family member aren’t subject to a deductible. This differs from embedded or per-episode deductibles, which focus on individual deductibles or per-claim events rather than a yearly family cap. It also isn’t about carrying deductible amounts over into the next year.