With a $200 deductible and 80% coinsurance, after meeting the deductible, what percentage of the remaining allowed charges is paid by the insurer?

• A. 60%
• B. 80%
• C. 100%
• D. 20%

Answer: (B)

When a plan has a deductible and coinsurance, you pay costs up to the deductible first, then coinsurance applies to the remaining charges. With 80% coinsurance, after the deductible is satisfied, the insurer pays 80% of the remaining allowed charges and you pay the other 20%. For example, if total charges are 1,000, you pay 200 to meet the deductible, leaving 800 eligible charges. The insurer would pay 0.8 × 800 = 640, and you would pay 160. So, after the deductible is met, the insurer covers 80% of what's left.