How to Calculate Coinsurance
It is not easy to calculate Medicare coinsurance as it is a percentage of the total expense of service instead of a fixed amount. It means that the coinsurance amount can vary, depending on the service and item you get. A cheaper service will result in a small coinsurance, while a more expensive service would lead to a higher coinsurance. The key to note is the out-of-pocket maximum on the plan. If the plan you choose includes 20 percent coinsurance, it does not mean that you have to pay 20 percent of all medical expenses throughout the year. After you reach out-of-pocket maximum, you are completed with paying. [3]
