Understanding Insurance Jargon Can Save You From Some Nasty Surprises

Auto Car Insurance. Your spouse wakes you well after midnight. He's doubled over in pain. It's obviously more than indigestion, and soon you are standing in the emergency room facing an admitting clerk.

"Do you have health insurance?" she asks.

You remembered to bring your insurance card, but let's pause as you hand it to her. Do you know what questions to ask providers in order to get the best coverage?

When is the last time you read your Certificate Booklet? Do you know what that is? No, it's not the two pages you were given to determine which plan you wanted. It's usually a very fat book. So few people read their certificate booklets that many employers have stopped passing out printed versions and only post digital versions.

But what you don't know can cost you. So before you say "Insurance is Greek to me," let's look at some common insurance jargon.

Deductible: This is the dollar amount of covered services that are your responsibility before the insurance plan will start paying. Services not covered by the plan and anything above reasonable and customary do not count towards your deductible. Car insurance

Reasonable and Customary: Cheap Auto Insurance.This rate applies to out-of-network services and is determined by the insurance company based on claims they receive from the provider's area. If the provider's rate is higher than the Insurance company's rate the overage is your responsibility.

Co-pay: This is a dollar amount that you must pay every time you have a particular covered service at an in-network provider. These are very specific and are usually spelled out in your Certificate Booklet.

Co-insurance: Auto Insurance Companies. This is a percentage of covered services that are your responsibility after you have met the deductible. These often vary by service and provider so watch those carefully. Just because a doctor works at an in-network hospital doesn't mean you are guaranteed to pay the in-network co-insurance for his services.

Maximum: Dipta. This is usually the most an insurance company will pay for services for one patient in one plan year. Specific services can have their own maximum so check for these.

Maximum Out-of-Pocket: This is a feature on medical plans that caps your co-insurance in a particular year. After your have paid that amount, the plan will pay 100% of covered services. Non-covered amounts don't count. Since it's a medical feature, don't expect this on dental plans.

Take the time to understand your health insurance plan. It will save you from some nasty surprises. Talk these things over with your insurance broker or agent. A good one will take all the time needed to answer your questions, because if you win, they win!

Miriam is a sometime world traveler who was a customer service representative for a major insurance company and now writes articles for Good Neighbor Insurance. Good Neighbor Insurance represents 10 international health insurance companies and provides international health and travel insurance for every country in the world. Email us to get a health insurance quote.

Article Source: http://EzineArticles.com/?expert=Miriam_Sirag