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Health Insurance Quiz

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17 Questions

What should you consider when choosing a health insurance plan?

Your current health status

If you have a known health issue, what type of plan should you consider?

A plan with a lower deductible and higher premium

What is not automatically covered in a health insurance plan?


What is the relationship between premium and out-of-pocket expenses?

The higher the premium, the lower the out-of-pocket expenses

What is the purpose of the deductible in a health insurance plan?

To determine when the insurance coverage kicks in

What happens after you reach the out-of-pocket limit in a health insurance plan?

The plan pays for 100% of services

What is the main purpose of supplemental health insurance?

To provide additional coverage for specific medical expenses

What is the primary purpose of a copayment in a health insurance plan?

To split costs with the insurer after the deductible is met

What type of supplemental insurance helps cover out-of-pocket expenses?


What is an example of a supplemental insurance policy that pays a lump sum in the event of a serious illness?

Critical Illness

What is the maximum amount you would need to pay for covered health care services in a year?

Maximum Out-of-Pocket

What factor should be considered when picking a health insurance plan, aside from the cost?

Whether the plan covers your current doctor

What is the purpose of dental supplemental insurance?

To cover routine dental care and checkups

What is not a type of supplemental insurance mentioned in the text?


What is the percentage of the cost that you pay for covered services in a health insurance plan?


What is the fixed amount you pay for a specific service or prescription medication in a health insurance plan?


What does not count towards your maximum out-of-pocket amount in a health insurance plan?

Monthly premium payments

Study Notes

Health Insurance Costs

  • A health insurance plan's cost includes the deductible and part of the medical bills.
  • Copayment is a fixed amount paid for a specific service or prescription medication.
  • Copayments are one of the ways health insurers split costs with the policyholder after the deductible is hit.
  • Copayments may also be required for specific services before reaching the deductible.
  • The policyholder will pay copayments until they reach the maximum out-of-pocket amount.

Coinsurance and Out-of-Pocket

  • Coinsurance is a percentage of the cost that the policyholder pays for covered services.
  • Coinsurance is typically a percentage of the cost, e.g., 20% of the cost of covered services until the out-of-pocket maximum is reached.
  • Maximum out-of-pocket is the most a policyholder will have to pay for covered health care services in a year.
  • Payments made towards the deductible, copayments, and coinsurance payments go towards the out-of-pocket limit.

Picking a Health Insurance Plan

  • Factors to consider when picking a plan include more than just cost.
  • Not all plans cover all doctors, so it's essential to check if a doctor is part of the plan.
  • The policyholder should ensure their preferred doctor is part of the plan.

Supplemental Insurance

  • Health insurance may not always cover every aspect, and supplemental insurance can be helpful.
  • Supplemental insurance policies can be bought in addition to a health insurance plan.
  • Examples of supplemental insurance policies include dental, vision, GAP, and critical illness insurance.

Health Insurance Plan Options

  • There are different health insurance plan options to choose from, depending on individual needs.
  • A policyholder with no known medical issues may opt for a lower premium payment with a higher deductible and copay option.
  • A policyholder with a known health issue may want to search for a lower deductible.

What's Covered with Health Insurance

  • Health insurance doesn't cover everything.
  • There are four ways health insurance companies might share costs with the policyholder: deductible, copayment, coinsurance, and out-of-pocket limit.

Understand the costs associated with health insurance plans, including deductibles, copayments, and out-of-pocket expenses. Learn how health insurers split costs with policyholders and how copayments work.

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