What is a fee-for-service insurance plan?
A fee-for-service plan is the most common type of insurance plan. It allows a person to use any doctor from any hospital and switch if needed or wanted. It requires a monthly payment called a premium and has deductible, a dollar amount that is paid before any obligation to the insurance company takes effect. After the deductible is paid, the insurance company then assumes responsibility of a percentage of the remaining bills for that calendar year. The percentage and deductible amount vary depending on the plan, the coverage, and the premium.
