How much will Kim's health insurance policy pay for her hospital claim totaling $14,000?

To determine how much Kim's health insurance policy will pay for her hospital claim totaling $14,000, it is essential to understand the specific terms and conditions of her health insurance policy, including factors such as deductibles, co-pays, coinsurance, and any maximum payment limits.

The correct answer indicates that the insurance will cover $12,250 of the total claim. This suggests that Kim may be responsible for a deductible or coinsurance amount. For instance, if the policy has a deductible of $1,750, this amount would need to be paid by Kim before the insurance starts covering the costs. After meeting the deductible, the remaining amount would be covered by the insurance, which in this case amounts to $12,250.

Further context may indicate that the insurance plan partially covers hospital expenses, meaning that after accounting for member responsibility, the insurance should cover $12,250 of the total claim. Without specific deductions or percentages, analyzing the overall figure in relation to common health insurance practices leads to the conclusion that the policy is structured this way.

This understanding of how insurance reimbursement works—covering the significant majority of a claim while the policyholder retains a smaller amount—is crucial in evaluating health insurance policies and managing healthcare costs.