KEY WORDS AND PHRASES What You Pay There are different costs associated with health insurance. When choosing a plan, it is important to take into account all of the costs for each plan. Premium The money you pay the insurance company to buy the plan. You usually pay this monthly or every pay period. If you get coverage through your job, your employer may also pay a part of the premium. Deductible The amount you have to pay for your $ health care each year before your $ insurance starts paying for care. Similar to $ car insurance, many health plans require you to pay a certain amount “out of pocket” before their coverage kicks in. For example, if your deductible is $300, you have to pay the 昀椀rst $300 of your medical costs yourself before the insurance starts paying. In some plans, the deductible applies only to services that you get outside their “provider network.” Also, some plans have a separate deductible for prescription medications. Usually, the deductible does not apply to preventive services.