By: Daniel Aaron
Just last month, Professor Christopher T. Robertson, at the University of Arizona College of Law, released his new book about health care, entitled Exposed: Why Our Health Insurance Is Incomplete and What Can Be Done About It. This book review will offer an analytical discussion of “cost exposure,” the main subject of his book.
What is cost exposure in health care?
Cost exposure is payments people make related to their medical care. There are many ways patients pay – here are a few common ones.
- Deductible – Patient is responsible for the first, say, $5,000 of their medical care; after this point, the health insurance kicks in. Resets each year.
- Copay – Patient pays a specific amount, say $25, when having an episode of care.
- Coinsurance – Patient pays a specified percentage, say 20%, of care.