coinsurance

noun

co·​in·​sur·​ance ˌkō-ən-ˈshu̇r-ən(t)s 

 also  -ˈin-ˌshu̇r-

1

: joint assumption of risk (as by two underwriters) with another

2

: insurance (such as fire insurance) in which the insured is obligated to maintain coverage on a risk at a stipulated percentage of its total value or in the event of loss suffer a penalty in proportion to the deficiency

3

: health insurance in which the insured is required to pay a fixed percentage of the cost of medical expenses after the deductible has been paid and the insurer pays the remaining expenses

Coinsurance is not a new idea—Americans who grew up in the era before managed care will remember their parents paying 20% of the costs of office visits, tests, and prescriptions.

—Thomas H. Lee et al.

Examples of coinsurance in a Sentence

Recent Examples on the Web

Usually, plans require that beneficiaries pay a percentage coinsurance for specialty drugs (defined as those with 30-day cost of more than $830 in 2023). —Mariana Socal, STAT, 8 Sep. 2023

Under catastrophic coverage, patients are only charged either a copayment — which is a set amount, usually $10 or $20 per prescription — or a coinsurance percentage, which is set at 5% of the cost of the drug. —Berkeley Lovelace Jr., NBC News, 16 Aug. 2022

There also will be a 10% coinsurance charge for outpatient services at hospitals or ambulatory surgery centers. —Dan Petrella, Chicago Tribune, 16 June 2023

Unlike Original Medicare, which a 20% coinsurance for Part B services including doctor’s visits, most Medicare Advantage plans have flat fee co-pays, which will be lower. —Richard Eisenberg, Fortune Well, 9 Aug. 2023

And there are other premiums, deductibles, copays and coinsurance to consider, too. —Nerd Wallet, oregonlive, 26 Jan. 2023

There’s $400-per-day coinsurance for days 61 to 90 of each hospital stay. —Byrichard Eisenberg, Fortune Well, 18 July 2023

There is a $226 annual deductible and 20% coinsurance under Part B—the share you’re expected to pay after reaching your deductible. —Liz Seegert, Fortune Well, 11 July 2023

But since there was a contract specifying a 50% coinsurance rate when Swedish was out of network for a particular Regence plan, those laws legally may not apply, Fiedler said. —Kaiser Health News, oregonlive, 2 Mar. 2023

See More

Word History

First Known Use

circa 1889, in the meaning defined at sense 1

Medical Definition

coinsurance

noun

co·​in·​sur·​ance ˌkō-ən-ˈshu̇r-ən(t)s, -ˈshər- also -ˈin-ˌshu̇r-, -ˌshər- 

: health insurance in which an insurer requires the insured to pay a fixed percentage of the cost of medical expenses after the deductible has been paid and with the insurer to pay the remaining expenses

Coinsurance is not a new idea—Americans who grew up in the era before managed care will remember their parents paying 20% of the costs of office visits, tests, and prescriptions.

—Thomas H. Lee et al., The New England Journal of Medicine

Legal Definition

coinsurance

noun

co·​in·​sur·​ance ˌkō-in-ˈshu̇r-əns, kō-ˈin-ˌshu̇r- 

1

: joint assumption of risk (as by two underwriters) with another

2

: insurance (as fire insurance) in which the insured is obligated to maintain coverage on a risk at a stipulated percentage of its total value or in the event of loss to suffer a penalty in proportion to the deficiency