Question

Sheldon has a traditional health insurance plan. He has a $200 deductible. The level of co-insurance for his plan is 90/10, where 10 represents Sheldon’s portion. He does not have a co-payment. If Sheldon incurs a $1,500 hospital bill, how much money will the insurance company pay for the bill?
$1,170
$1,350
$1,150
$970

Answer 1

Answer:

$1,170

Explanation:

Answer 2

Answer:

S$1,170

Explanation:

We are told in the question that Sheldon has a traditional health insurance plan.

We are told the he also incurred a bill of $1,500 and he has a $200

deductible.

The cost Sheldon hospital bills would be:

$1,500 - $200 = $1,300

We are told that the level of co-insurance for his plan is 90/10, where 10 represents Sheldon’s portion.

This means Sheldon portion is

10% of $1,300 = $130

The insurance company would be paying

$1,300 - $130 = $1,170