HOSA Dental Terminology Practice

What is a "family deductible" in dental insurance?

1. A deductible per family member

2. A deductible satisfied by combined expenses of all family members

3. A type of special family plan

4. A deductible based on income level

The correct answer is: A deductible satisfied by combined expenses of all family members

A "family deductible" in dental insurance refers to a deductible that is satisfied by the combined expenses of all family members covered under the policy. This means that the total amount of out-of-pocket expenses incurred by family members contributes towards meeting the deductible amount set by the insurance plan. Once the aggregate expenses reach the predetermined deductible limit, the insurance provider begins to cover eligible costs for dental services. This structure makes it easier for families to manage their healthcare costs collectively, as opposed to each individual member having a separate deductible that needs to be met. As a result, when one family member incurs significant dental expenses, it can help the entire family reach and potentially exceed the deductible faster, facilitating easier access to benefits. The other choices do not accurately describe the concept of a family deductible. A deductible per family member refers to individual deductibles, while a type of special family plan suggests a different insurance structure or benefits that are not synonymous with the definition of a family deductible. Unrelatedly, a deductible based on income level introduces another parameter that isn’t typical in the standard definition of a family deductible.