Do Copays Count Towards Deductible?

Do Copays Count Towards Deductible – Overview

The Copay is the fixed amount you owe the doctor over the insurance coverage. For instance, when deductibles are thousands of dollars, the copay amount can be as low as $25 to $75, which seems like a small change in comparison.

However, the copay amount can sometimes add up if you are suffering from an ongoing medical problem. Besides, copays for emergency room visits or urgent care can be as much as $100 or more.

You may be wondering if copays count towards the health insurance deductible.

In this article, we will describe how copays and deductibles work. It is highly recommended that you read your insurance policy details and how the coverage is structured.

Copays and Deductibles – The Difference

Budgeting for your health insurance deductible is extremely important if you are financially responsible. To do this, you should know how to meet deductibles and what factors count towards it.

Your health insurance plan’s cost-sharing requirements determine whether copays count toward your deductibles. Remember, most insurance plans do not count copays towards deductibles. It is less common for health insurance policies to count copays towards the deductible.

Every year, companies change their health insurance cost-sharing requirements by seeking new, affordable, and consumer-friendly options to create the best-suited cost-sharing structure.

You can review the Summary of Benefits and Coverage option in your insurance policy documents to check this facility. Make sure to check the math properly and if you are still unsure, you can call your insurance agent or company directly.

However, you should not expect to count towards the deductible. Still, copays will be counted towards your maximum out-of-pocket expenses unless specified differently.

Do Copays Count Towards Deductible

Do Copays Count Towards Deductible – Copays

Copays Accumulate Quite Fast

Copayments tend to add up fast. Even if your insurance plan does not count copays toward deductibles, they will most likely count toward your maximum out-of-pocket limit.

Once the cap is reached, your insurance should pay for any covered services for the remainder of the year.

That is, assuming you use in-network healthcare providers and follow any rules for your plan, such as step therapy or prior authorization.

Most insurance plans apply the cost of certain services towards the deductibles and use copayments for different services. Your copays and deductibles generally don’t apply to the same health care service.

Remember, two different healthcare services can be performed at the same time. For instance, you can visit a clinic and undergo a lab test. In such cases, the clinic visit may have a copay, while the lab test may have a separate charge that counts towards the deductible.

Copays and ACA-Compliance

Though rare, all ACA-compliant insurance plans count copays towards your yearly out-of-pocket expenses limit, as there is an upper limit to how much a policyholder is obliged to make out-of-pocket payments.

For 2024, the out-of-pocket maximum limit for a single individual under a health insurance policy is capped at no more than $9,450.

Most health insurance policies limit out-of-pocket expenses, so you may have a policy with a lower maximum limit on how the in-network out-of-pocket charges can be during a single year. It is not uncommon for insurance policyholders to not reach their maximum out-of-pocket limit within a year.

However, if you reach this cap, it can be due to a combination of deductible, copay, and coinsurance.

Reaching the out-of-pocket limit typically involves a combination of deductibles, copays, and coinsurance, not just copays alone.


Generally, copays do not count toward insurance deductibles. They usually apply to some services while deductibles apply to others. Still, both are counted toward the insurance plan’s maximum out-of-pocket limit, which is the maximum amount an insurance policyholder will have to pay for their covered, in-network health care services during a year.

See Also

What is Travel Medical Insurance

Medical Insurance for Self Employed

Medical Credit Card for Dental

How to Apply for Medical Insurance

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