Which of the following accurately describes a “co-payment”?

A co-payment, often referred to as a "co-pay," is defined as a fixed amount that a patient is required to pay at the time of receiving a specific healthcare service or treatment. This arrangement is commonly seen in many health insurance plans, where the co-pay structure is used to share the costs between the insurer and the insured. For example, when visiting a doctor, a patient may need to pay a predetermined amount, such as $20, before the insurance covers the remaining cost. This model helps to manage healthcare expenses and encourages patients to seek necessary medical care without the burden of full upfront costs.

The other choices do not accurately embody the concept of a co-payment. For instance, the total amount billed refers to the complete charge for services rendered, which may or may not include any insurance adjustments. The monthly fee to keep insurance active relates to the premium, not a co-pay. Lastly, the percentage of costs covered refers to the insurance coverage terms, which delineate how much of the expense the insurance will pay after a deductible has been met, rather than a patient’s fixed co-payment obligation at the time of service.