In many health insurance policies, the amount of covered expenses that must be paid by the policyowner before the policy pays any benefits.


In health insurance, a provision whereby the insurance company and the policy owner share coverd losses in agreed proportions. A 80/20 Coinsurance clause is typical for major medical type policies. Excluding the amount of the deductible, the company agrees to pay 80 percent of the the insured‘s covered expenses and the insured pays the remaining 20 percent.