Final answer:
The remaining 20% not covered by the insurance carrier's benefits when they cover 80% is known as coinsurance. It's a cost-sharing strategy that involves the policyholder paying a part of the medical expenses.
Step-by-step explanation:
If the insurance carrier's rate of benefits is 80%, the remaining 20% that the policyholder is responsible for paying is known as coinsurance. This is a part of the insurance agreement where the policyholder pays a certain percentage of the medical expenses, and the insurance company covers the rest.
Coinsurance is one of the ways by which insurance companies share costs with policyholders to prevent overutilization of healthcare services.
Coinsurance is when an insurance policyholder pays a percentage of a loss, and the insurance company pays the remaining cost. In this case, if the insurance carrier's rate of benefits is 80%, then the remaining 20% would be the portion that the policyholder is responsible for.