How does a health insurance deductible work?

InsuranceWarren TeamPublished April 25, 2026

Quick answer

A deductible is the amount you pay out-of-pocket for covered medical services before insurance starts paying. Once you hit the deductible, you typically pay just copays/coinsurance until you hit the out-of-pocket maximum. Resets each plan year.

Health insurance cost flow: deductible, coinsurance, out-of-pocket max.

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