Health Insurance Math



hey so we'll try a little health insurance math if you look in your notebook under Section 1.03 and final it talks about you health insurance math we're gonna go over this paper and we're gonna do some problems and hopefully we can understand what we're doing here so what okay so we're doing health insurance math like this so number one says how much does the help the insurance company pay if a person has a four thousand dollar hospital bill and a five hundred dollar deductible all right well it's very simple let's look at number one we have a bill a bill is four thousand dollars and I have a duck deductible of $500 so how much does the health insurance company pay all right so the health insurance pays well it's very simple subtract these two I pay this and once I pay my $500 now just subtract so my insurance company pays 35 hood so there's man so the bill was for $4,000 I paid out of pocket $500 and then health insurance pays 3500 that's how you do number one okay so let me clear that and let's look at number two on how much does the insurance company pay if the person has a four thousand dollar bill a $500 deductible and an 80/20 coinsurance okay so here we go we've got deal equals four thousand my erasers not working hang on let me clear that side over to start over I'm to four thousand four thousand dollar bill we already know we're gonna subtract five hundred because that's what I paid I have to pay that I paid before insurance before they ever insurance starts so that's 3,500 we've already done that okay $3,500 all right now my insurance pays if you see an 80/20 that means that the insurance pays this and I pay so off is $3,500 $3,500 is going to pay 80% of it now 80% it will pay 80% keep in mind 80% I move my decimal two places to the left some will say 3,500 times 0.8 zero when I do that I'm going to get 28 that's how much the interest hey what do I pay well $3,500 times 20% remember my decimal two places to the left at point two zero and I would pay $700 if I add these two together boom I get 30 so insurance pays 80% which is $2,800 I pay 20% which is 75 so there's number two okay so let's look at number three number three says John's employer gave him 2250 a twenty two thousand two hundred dollar for two thousand two hundred fifty dollar bonus to buy optional medical dental and disability insurance the total cost for the year of optional insurance is two thousand eight hundred and sixty-eight dollars will you have a deficit or excess a flexible bonus money what amount of money will be reimbursed or deducted from John's bimonthly paycheck okay so alright specific number three keep in mind aim learning help him okay so John's employer gave him two thousand two hundred and fifty dollars and he actually spent or what was actually spent was two thousand eight hundred and sixty eight dollars now first of all is this more or less okay obviously it's more so we're gonna subtract these two and we get zero six hundred and eighteen dollars and this is our deficit now now we're going to take the $618 and we have to split it so it'll split 618 dollars into five monthly what does that mean what does bimonthly thing that means two times each well 12 months therefore we're going to have 24 payments so we take 24 divided into 618 there so 24 divided by 600 I mean divided 618 body but 24 is going to equal so this is what he will pay okay okay so there we go there are the first three and what we're going to do now is let's see how well you do

2 Comments

  1. Do you have a video showing how to calculate if there is a coinsurance, non-participating provider, and participating provider?

  2. Thank you so much this video is really helping me with my Medical Insurance class!!!! You explained everything so well and in a way that I understand!!!!

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