Understanding Medical Bills: A Simple Analysis Guide

Medical bills can be difficult both financially and mentally, and medical and insurance lingo can be verbose and dense. Understanding the billing process can help in medical bill analysis.

Billing Process

• After visiting your doctor or health provider, the doctor's office will submit a bill, also known as a claim, to your insurance company. The bill will list the services provided for you and the company will use this information to pay the doctor.

Explanation of Benefits

• Once your doctor is paid by the insurance company, they will send you an Explanation of Benefits (EOB). Reading and understanding the EOB will help you assess what your insurance is and isn't paying, and why.

Statement

• Your doctor's office will send you a statement detailing the bill sent to your insurance company. You don't need to pay the amount listed if you receive a statement before your insurance company has paid your doctor. You may be required to pay the remaining balance after your insurance company pays your doctor.