When it comes to health insurance, Coinsurance is the amount the insurance company will pay after you meet your deductible. In other words, after you have paid a certain amount of pocket (this is the deductible) you and the insurance company will share the cost of health expenses (coinsurance.)

Just as the amount of the deductible varies from policy to policy, rates can vary as well.

As you compare health insurance plans that come with a deductible, coinsurance will likely be a factor.

Coinsurance is displayed as two numbers separated by a backslash. For example, many plans will come with a provision of 80/20. The first number indicates the percentage of the bill that the insurance company will pay for and the second number represents the amount you will need to pay.

So in this case, once you’ve met the deductible, the insurance company will pay for 80% of covered health expenses and you will pay the remaining 20%.

This coinsurance arrangement will continue until you reach an annual maximum of out of pocket expense. This maximum can range between $5000 and $10,000.

The plans with a lower monthly premium will generally have a higher percentage you’ll be responsible for when it comes to coinsurance. So it’s important to compare coinsurance rates in addition to the rate you’ll be charged month to month.