What does "copayment" mean in healthcare reimbursement?

A copayment is defined as a fixed amount that a patient is required to pay for a specific covered service at the time they receive care. This payment is a form of cost-sharing between the patient and their insurance provider. When a patient visits a healthcare provider, they might be asked to make a copayment for the services they receive, such as a doctor's visit or prescription medication. This structure is designed to help manage healthcare costs and encourage patients to seek necessary medical services while sharing the financial responsibility.

In contrast, the other options describe different aspects of healthcare payments but do not accurately define copayments. For example, a variable fee based on income pertains more to sliding scale fees or income-based assistance programs, while an annual premium refers to the amount paid for health insurance coverage itself, not specific services. Lastly, a fee set independently by the provider relates to the direct charges they could impose outside the realm of insurance agreements, which does not align with the concept of a copayment defined by fixed amounts under specific insurance plans.