What is an out-of-pocket limit?

An out-of-pocket limit is a maximum amount of money that a person must pay for health care services before their health insurance policy starts to cover the additional costs. In Washington, it is a law that all health insurance policies must include an out-of-pocket limit. The out-of-pocket limit helps to protect the insured from incurring high medical costs if they need to seek medical treatment. There are different types of out-of-pocket limits, such as an annual maximum limit and a maximum limit for each type of service. The average annual limit in Washington is $7,350 for an individual and $14,700 for a family. This amount can be higher or lower, depending on the type of plan an individual or family has and the specific insurance provider. Out-of-pocket limits are an important part of health insurance law in Washington, as they help to protect the insured from high medical costs. It is important for individuals and families to be aware of their out-of-pocket limit, as exceeding it may lead to high medical bills. It is also important to keep track of medical costs to make sure that the out-of-pocket limit is not exceeded.

Related FAQs

What types of health insurance are available?
How does my age affect my health insurance premium?
What are the benefits of a health savings account?
What is a gap period?
How does health insurance cover prescription drugs?
What is a cost sharing reduction (CSR)?
What is health insurance?
What is a qualified health plan (QHP)?
What is an employer-sponsored health plan?
What is a coverage denial?

What is an out-of-pocket limit?

Related FAQs

Related Blog Posts