Question

Gina has a traditional health insurance plan. Her deductible is $500. The level of co-insurance for her plan is 80/20, where 20 represents Gina's portion. She does not have any co-payment. If Gina incurs a $2,300 hospital bill, how much money must she pay out of pocket for the bill?

Answer 1

Answer:

$860 is the answer.

Step-by-step explanation:

Gina's deductible is $500. Means she has to pay $500 from her pocket.

The level of co-insurance for her plan is 80/20, where 20 represents Gina's portion.

So, when Gina incurs a $2,300 hospital bill, the deductible has to be paid by her.

This is $2300-500=1800$ dollars

And 20% of 1800 = $0.20\times1800=360$

Now the money Gina must pay out of her pocket for the bill will be = $360+500=860$ dollars

Hence, Gina will pay $860.

Answer 2

Her deductible is $500.  So 2300-500=1800   20% of 1800 = 360

she will have to pay $360 plus $500 = $860  

$860 out of pocket

$1440 pd by insurance