FAQ: Do I Pay a Deductible for a Fee For Service?

There are so many types of medical insurance plans to choose from that consumers need to weigh the pros and cons of all of them before committing to one option. One health insurance plan that may be right for you is a fee for service plan. Fee for service plans are the most flexible of all insurance plans as it provides policyholders the opportunity to choose any doctor. For the luxury of freedom, a fee for service plan tends to cost more to the insured in the form of higher monthly premiums, a greater financial responsibility in co-payments and the responsibility of paying a deductible for a fee for service plan.

Fee for Service Payments

When opting into a fee for service plan, a member will be alerted of the amount of money they are financially responsible for paying until their benefits kick in. That monetary figure is a deductible amount. The deductible amount varies from insurer to insurer and policy to policy, but can range anywhere from hundreds to thousands of dollars. Like with all insurance, policies that tend to have higher deductibles have slightly lower monthly premiums.


Until the deductible for a fee for service plan is met, the co-payment benefits of the insurance will not kick in for the member. It is important to note that not allhealth expenses count toward the deductible amount. It is important to review your insurance policy before seeking medical attention to ensure that the services rendered will apply to a deductible for a fee for service.

Fee for service plans typically have a cap involved limiting the amount of money a member will need to pay out of pocket. That dollar can range from $1,000-$5,000 annually and does not included the monthly premium. However, the amount that has been paid towards the deductible for a fee for service plan is included as part of that cap.