ecky’s comprehensive major medical health insurance plan at work has a deductibl
ID: 2733388 • Letter: E
Question
ecky’s comprehensive major medical health insurance plan at work has a deductible of $450. The policy pays 85 percent of any amount above the deductible. While on a hiking trip, Becky contracted a rare bacterial disease. Her medical costs for treatment, including medicines, tests, and an eight-day hospital stay, totaled $9,113. A friend told her that she would have paid less if she had a policy with a stop-loss feature that capped her out-of-pocket expenses at $4,100.
Calculate the total amount Becky would pay under the current policy. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Would a $4,100 stop-loss provision on her current policy have reduced Becky's cost for this illness?
ecky’s comprehensive major medical health insurance plan at work has a deductible of $450. The policy pays 85 percent of any amount above the deductible. While on a hiking trip, Becky contracted a rare bacterial disease. Her medical costs for treatment, including medicines, tests, and an eight-day hospital stay, totaled $9,113. A friend told her that she would have paid less if she had a policy with a stop-loss feature that capped her out-of-pocket expenses at $4,100.
Explanation / Answer
Answer 1 Beckay's Co insurance Cost 1299.45 Deductable 450.00 Total Personal cost 1749.45 Working notes Current Policy 9113 Deductable 450 8663 Becky Pay 15% 1299.45 Answer 2 No. Because actual cost of Beckay is less than $ 4100. Therefore, no benefit to Becky.
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