Office Administrative Assistant Practice Exam

What is the term for a fixed charge that a patient pays on the day of service?

1. Deductible

2. Copay

3. Coinsurance

4. Premium

The correct answer is: Copay

The term for a fixed charge that a patient pays on the day of service is known as a copay. This is a predetermined amount that insurance plan members must pay for certain services, such as doctor visits or medications, at the time of the appointment or prescription. The purpose of a copay is to share the cost of healthcare services between the patient and the insurance provider, making healthcare more accessible while also encouraging patients to seek necessary medical services. The other terms in the question provide different roles in healthcare costs but do not apply to the fixed charge paid at the time of receiving care. A deductible refers to the amount a patient must pay out-of-pocket for healthcare services before their insurance begins to cover costs. Coinsurance represents a percentage of the costs for services that the patient is responsible for after the deductible has been met. A premium is the regular payment made to maintain health insurance coverage, regardless of whether services are used.