A health insurance premium and a deductible are different costs. The premium is what you pay to maintain the plan. The deductible is the amount you pay for covered services subject to the deductible before the plan starts sharing costs for those services, according to the plan's rules.
Why the distinction matters
Imagine two plans: Plan A has a lower premium but a higher deductible, while Plan B has a higher premium but a lower deductible. If you rarely use healthcare, the premium may be a major part of your annual cost. If you expect frequent services or a planned procedure, the deductible and cost-sharing may matter more. Neither plan is automatically the best choice for everyone.
What to check together
- Monthly premium after any applicable tax credit.
- Individual and family deductible.
- Copays and coinsurance for common services.
- Out-of-pocket maximum for covered, eligible expenses.
- Network and prescription rules.
Some services may be covered before the deductible; the details vary by plan. Review the Summary of Benefits and Coverage and other official plan materials. See HealthCare.gov's total costs guide.