Amy Lou Young purchased a health insurance policy with a $500 deductible and 40% coinsurance. If Amy Lou incurs $6,500 in covered medical expenses, her policy will pay
$3,600$4,600$6,600

Question

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Respuesta :

DeniceSandidge DeniceSandidge · Answer 1 · 2020-03-26T07:15:42+01:00

Answer:

policy will pay = $3600

Explanation:

given data

deductible amount = $500

coinsurance = 40%

medical expenses = $6,500

solution

here policy will pay amount that is

policy will pay = ( medical expenses - deductible amount ) × ( 1 - 0.40 ) .......1

policy will pay = ( $6,500 - $500 ) × ( 0.60)

policy will pay = $6,000 × ( 0.60)

policy will pay = $3600

Answer Link

Tundexi Tundexi · Answer 2 · 2022-01-04T12:44:30+01:00

The maximum amount that the policy will pay out if Amy Lou incurs $6,500 is the amount of $3,600.

Given information

Deductible amount = $500

Coinsurance = 40%

Medical expenses = $6,500

Policy amount payable = (Medical expenses - Deductible amount) * (1 - 0.40)

Policy amount payable = ($6,500 - $500) * (0.60)

Policy amount payable = $6,000 * 0.60

Policy amount payable = $3,600

Hence, the Option C is correct because the maximum amount that the policy will pay out if Amy Lou incurs $6,500 is the amount of $3,600.