How coverage works

The four numbers that decide what a plan costs you

Plain explanations of deductibles, out-of-pocket maximums, how premiums are set, and how the premium tax credit is settled at tax time.

How coverage works

Plain explanations of the deductible, the out-of-pocket maximum, how a premium is set, and how the subsidy is settled at tax time. Written to be read before you compare plans, not after you have a bill.

How a health insurance deductible works

The amount you pay for covered care in a plan year before the plan starts paying its share. Some services are covered before you reach it.

4 minute read

What the out-of-pocket maximum protects you from

The ceiling on what you pay for covered in-network care in a plan year. After you hit it, the plan pays 100 percent of covered services.

How your monthly premium is set

Age, county, tobacco use and household composition set the price. Health history cannot. Your credit is applied before you pay.

5 minute read

Subsidy reconciliation at tax time

The credit you take each month is an advance on a tax credit. Form 8962 settles the difference between your estimate and your actual income.

These pages explain how coverage works in general terms. They are not a plan document. Benefits, networks and cost sharing are set by each carrier contract, and the plan documents control.