What is a Deductible and How Does It Affect Me?

An annual deductible is the dollar amount you must pay out of pocket during the year for medical expenses before your insurance coverage begins to pay.

For example, if the policy has a $500 deductible, you must pay the first $500 of medical expenses before the insurance company begins to pay for any services.

This works just like the deductible for your car insurance or homeowner’s insurance policy.

When does a deductible begin?

Your deductible begins at the start of your plan year. Most plan years begin either January 1 or July 1, but plans can start on any date

(The Medicare plan year begins January 1 and the deductible is $147 for 2014.)

When do I have to pay for services?

Any time you receive medical care, you will be expected to pay in full for your services until your deductible is met. If you have a very large deductible, called a high-deductible insurance plan, you may have to pay out of pocket for most of your medical services.

How will I know when my deductible has been met?

You can call your insurance company at any time to check on how much of your deductible has been met and some insurance companies have this information available online. Every time you receive medical services, you will receive notification from your insurance company with how much they paid or did not pay if the amount went to your deductible.

Will you send me a bill to let me know what I owe?

Alabama Dermatology Associates does not send patient statements, which is one way we keep costs down. All patients are required to keep a credit or debit card on file, but we do not charge anything to your card except the balances that are your responsibility.

What if I have more questions?

 Our staff is happy to speak with you about your account at any time.