Question

Mark Winston's insurance carrier provides an 80:20 plan. When Mark goes to a physician for a service that costs $200, how much will Mark have to pay?

A. $40
B. $160
C. $80
D. $20

Answer 1

Mark will pay 20% of the $200 medical service cost under his 80:20 health insurance plan, which amounts to $40. Therefore, the answer is A. $40.

Step-by-step explanation:

Mark Winston's insurance carrier offers an 80:20 plan, which is a type of health insurance co-insurance plan. This means that the insurance company will cover 80% of the medical costs, and Mark will pay the remaining 20%. The service Mark requires costs $200, so here's how we can calculate his portion:

We start by calculating 20% of $200. To do this, we multiply 200 by 0.20 (which is the decimal equivalent of 20%).

So, 200 × 0.20 = $40.

Therefore, Mark Winston will have to pay $40 out of the $200 service cost, with the insurer covering the remaining $160.

The correct answer to how much Mark will have to pay is A. $40.