Health Insurance Class - Lesson #16 - Embedded & Aggregate Deductibles
Health care policies refer to individual deductibles as embedded and non-embedded (also known as aggregate or contract deductibles) in family coverage. Your High Deductible Health Plan (HDHP) will require you to meet an annual deductible, which is the total out-of-pocket expenses you pay for covered services before the insurance company pays for covered expenses. Your insurance company will base your annual deductible on your coverage category, such as individual or family. The design of the health care plan will dictate how that certain deductible will be met. Usually this topic is not discussed in general healthcare conversation, but it actually embedded in the plan itself. That is why it is essential to read and understand the plan's Summary Plan Description (SPD) to actually know what benefits the plan has.