What does cost-sharing mean in health insurance?

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Cost-sharing is the portion of health care costs that the insured pays out-of-pocket when receiving services. It’s the “split” between what the plan covers and what you pay, usually via copayments, coinsurance, and deductibles. The statement that best describes this is that insurance pays part of the cost and the beneficiary pays part. That captures the idea of shared responsibility between the insurer and the consumer. The other options describe things that aren’t about sharing costs: screening for pre-existing conditions relates to eligibility, government-funded premiums refer to how plans are funded, and deductibles being never required is inaccurate since many plans do involve a deductible as part of cost-sharing. For example, you might pay a fixed copay for a visit, then the plan covers the rest, or you pay a percentage of the cost (coinsurance) after meeting the deductible.