What term refers to the percentage of allowable charges that a patient must pay after meeting their deductible?

The term that refers to the percentage of allowable charges that a patient must pay after meeting their deductible is known as coinsurance. Coinsurance is a cost-sharing mechanism where, after the deductible has been satisfied, the insured person is responsible for a specific percentage of the costs of covered healthcare expenses, while the insurance company pays the remaining percentage. This arrangement helps to share the financial burden between the patient and the insurer, promoting cost-conscious decision-making regarding healthcare services.

For instance, if a patient's coinsurance rate is 20%, it means that after meeting the deductible, the patient will pay 20% of the costs for services, while the insurer pays the remaining 80%. Understanding coinsurance is essential for managing financial responsibilities in the revenue cycle, particularly in how patients plan for their healthcare expenses following that deductible phase.