Florida Health Insurance Terms:
Define Term:
"Co-Payment or Co-Pay"

A co-payment of co-pay is a specific payment paid by the covered person (you) at the point of each health service visit. It does not accumulate like a deductible.

Detailed answer: A copayment, or copay, is a flat dollar amount paid for a medical service by you as an insured person. Insurance companies use copayments to share health care costs to prevent moral hazard. Though the co-pay is often only a small portion of the actual cost of the medical service, it is thought to prevent people from seeking medical care that may not be necessary (eg: an infection by the common cold), which can result in substantial savings for insurance companies. However, a co-pay may also discourage people from seeking necessary medical care.

News Article: More About: "Copay"

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