Definitions

Here are some definitions for terms you may see on this website or in health plan documents. For a complete glossary of terms, see https://www.healthcare.gov/glossary/.

Premium: The amount you pay for your health insurance every month. Half of this amount will be deducted from your paycheck twice a month.

Deductible: The amount you pay for covered health care services before your insurance plan starts to pay.

Co-Payment: The amount you pay for covered health care services after you have paid your deductible.

Coinsurance: The percentage of the cost you pay for covered health services after you have paid your deductible.

Out of Pocket Costs: Costs for medical care that are not reimbursed by insurance. This includes deductibles and co-payments for covered services and all costs for services that are not covered.

Covered Services: Services covered by your health insurance plan that are listed in the plan’s Summary of Benefits .

Health Savings Account (HSA): An account that allows you to set aside pre-tax money to pay for qualified medical expenses. You must have a “high deductible” health plan to use an HSA. HSA funds roll over year to year if you don’t spend them. You can take the money with you if you change jobs or leave the work force. Your HSA may also earn interest.

Health Reimbursement Account (HRA): A feature of health plans where employees are reimbursed tax-free for qualified medical expenses. HRA funds roll over year if you don’t spend them. However, the insurance company funds and owns the account so you can’t take the money with you if you leave NANA.