coinsurance

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Related to coinsurance clause: co-insurance

coinsurance

(kō′ĭn-sho͝or′əns)
n.
1. Insurance held jointly by two or more insurers.
2. A form of insurance in which a person insures property for less than its full value and agrees to be responsible for the difference.
3. A sum of money paid by a patient to a health care provider after a health insurance company has paid a contractual amount for a covered service, usually a fixed percentage of costs. Coinsurance usually applies after an annual deductible has been paid.

co·in·sur·ance

(kō-in-shŭr'ăns)
The amount or percentage the insured is responsible for after the deductible has been met.
See also: copayment, cost sharing

co·in·sur·ance

(kō-in-shŭr'ăns)
The amount or percentage the insured is responsible for after the deductible has been met.
References in periodicals archive ?
Coinsurance clauses require insureds to insure property for a high percentage (usually 80%) of the replacement cost if they are to recover the full amount of a partial loss--that is, a loss of or damage to part of the property insured.
Although some states have passed laws voiding coinsurance clauses, they remain a source of distress to real estate companies who frequently encounter the restriction following a loss.
It does not replace the coinsurance clause as does the agreed value coverage option.
One source of possible problems is the coinsurance clause in time element forms.
Ask your agent to explain the coinsurance clause and its relationship to your total property insurance limit.