Final answer:
Medicare Part B beneficiaries pay a coinsurance of typically 20% after the annual deductible, which for 2023 is $226, is met. This deductible is met once each year. These payments help reduce moral hazard by ensuring the insured have a stake in the cost of their healthcare services.
Step-by-step explanation:
The coinsurance for Medicare Part B is typically 20% of the Medicare-approved amount for most doctor services, outpatient therapy, and durable medical equipment. The deductible for Medicare Part B is an annual charge and for the year 2023, it is $226 after which Medicare starts paying its share. The deductible must be met once each year, typically at the beginning of the year, before Medicare starts to pay its share of the covered services.
The requirement for the insured party to pay a deductible, copayments, or coinsurance serves to reduce moral hazard by ensuring that policyholders have a financial stake in the services they use, discouraging overutilization of medical services and contributing to a more cost-efficient insurance system.
For example, let's say the Medicare-approved amount for a doctor's visit is $100. If a beneficiary has not yet met their deductible, they would be responsible for paying the full $100. Once the deductible is met, the beneficiary would be responsible for paying the coinsurance, which in this case would be $20 (20% of $100).