Distinguish between coinsurance and copayment with an example.

• A. A copayment is a fixed amount paid upfront for a service.
• B. Coinsurance is a fixed amount per service.
• C. Copayments and coinsurance are both fixed amounts.
• D. A copayment is a fixed amount paid upfront for a service; coinsurance is a percentage of the allowed charge after meeting the deductible.

Answer: (D)