Copayment

What Does Copayment Mean?

A copayment, or co-pay, is a fixed amount that a health insurance policyholder is required to pay for covered medical services, such as eye or hearing exams.

Insuranceopedia Explains Copayment

Unlike coinsurance, which requires the policyholder to pay a percentage of covered healthcare costs, a copayment is always a fixed dollar amount based on the specific service. The schedule of benefits outlines the copay for each covered health service. For example, it may be $10 per prescription, $15 for routine doctor visits and exams, and $100 for an emergency room visit.