Glossary Archer Medical Savings Accounts – Individual accounts that may be set up by self-employed individuals and those who work for small companies. Funds in the accounts are used to pay medical expenses. Coinsurance – The amount you must pay for medical care after you have met your deductible. Typically, your plan will pay 80 percent of an approved amount, and your coinsurance will be 20 percent, but this may vary from plan to plan. Copay – The flat fee you pay each time you receive medical care. For example, you may pay $10 each time you visit the doctor. Your plan pays the rest. Deductible – The amount you must pay each year before your plan begins paying. Disability insurance – Pays benefits if you are injured or become seriously ill and are no longer able to work. Exclusions – Services that are not covered by a plan. Sometimes called limitations. These exclusions and limitations must be clearly spelled out in plan literature. Fee-for-service insurance – Traditional (indemnity) health insurance where you and your plan each pay a portion of your health expenses, usually after you meet a yearly deductible. In most cases, you can choose any physician, hospital, or other provider (non-network based coverage). Flexible spending arrangements – Employees use pre-tax dollars to set up these accounts and draw down on them to pay qualified medical expenses during the year. Unused amounts are forfeited at the end of the year. Formulary – An insurance company’s list of covered drugs. Group insurance – Health plans offered to a group of individuals by an employer, association, union, or other entity. 26