Question

You have a minor medical policy with a $500 deductible and an 80/20 co-insurance (co-pay) feature with a CAP of $15,000. If you incur a $50,000 medical bill, how much of the bill will be paid by your insurance?

Answer 1

Answer:

$40,500

Explanation:

The computation of the bill payment paid by the insurance is shown below"

= Medical bill incurred cost × percentage given + deductible amount

= $50,000 × 80% + $500

= $40,000 + $500

= $40,500

We simply added the medical bill insured cost based on the percentage and the deductible amount so that the accurate amount can come