In the traditional insurance model, when the patient visits a healthcare provider, a hospital, or a physician for the first time in the calendar year, they pay an amount called the “deductible” as described in the health plan. The deductible is the amount to pay before the insurer starts paying for medical services. After the deductible, the enrollee also pays the copayment, which is the amount members pay when they use a particular type of health service. The insurance company pays the remaining bill.
View more information: https://marketrealist.com/2015/02/2-key-business-models-health-insurance-industry/