What is typically the first step before co-insurance applies?

Before co-insurance applies, it is typically necessary to meet the deductible. The deductible is the amount a policyholder must pay out-of-pocket for healthcare services before the insurance plan begins to share the costs through co-insurance. Once the deductible has been satisfied, the insurance company will start contributing to the medical expenses, and the policyholder will be responsible for their share of the costs, as outlined by the co-insurance agreement. This process is foundational in how most insurance plans are structured, ensuring that the insured person engages financially with their healthcare before insurance starts to cover the associated costs.

Other options, while related to the healthcare process, do not represent prerequisites for the application of co-insurance in the same direct way as meeting the deductible. For example, scheduling a follow-up appointment may occur after an initial consultation or treatment, paying a co-pay is often a requirement when receiving services, and receiving pre-approval can be necessary for certain procedures but does not impact the initial cost-sharing structure governed by deductibles and co-insurance.