Coinsurance versus Copay
Copays are a fixed amount that people need to pay on the day they receive a service or item. For instance, they would need to pay a $30 copay when filling a prescription at the drugstore or visiting a healthcare provider or doctor. On the other hand, coinsurance is a set percentage that they need to pay to the total amount of a medical expense after paying the deductible during the year. In addition, Medicare covers a percentage, typically more than what you need to pay. They do not need to pay the full amount of coinsurance on the day they get a healthcare service because it is calculated once the plan reduces the total amount based on the contract with the doctor or healthcare provider. [10]
