What does balance billing typically involve?

Balance billing typically involves charging the patient for whatever insurance did not pay. This occurs when a healthcare provider bills the patient directly for the difference between the provider's charge and the amount that the insurance company has reimbursed. In scenarios where a provider is out-of-network or does not have a contract with the patient's insurance plan, balance billing can occur. This means that the patient may be responsible for a significant portion of the costs, depending on the insurance coverage.

The other options do not accurately reflect the concept of balance billing. A flat fee for each service would not involve additional patient charges beyond what the insurance pays; it represents an agreement on price between the provider and the patient or the insurance company. Insurance covering all expenses at 100% would eliminate any need for balance billing since there would be no remaining balance for the patient to pay. Lastly, a required payment that keeps a plan active does not relate to billing practices but rather to maintenance of insurance coverage.