What type of cost-sharing model do members encounter in catastrophic coverage?

In catastrophic coverage, members typically encounter a high deductible that must be met before the plan starts to pay for any health care services. However, once the deductible is met, the plan may cover essential health benefits at a very low cost, leading members to have minimal out-of-pocket costs such as small copays or coinsurance for specific services. This model is designed to protect individuals from high costs in the case of serious illnesses or accidents after they have paid their higher deductible.

In this scenario, while "flat fees," "high deductible," and "no cost-sharing" describe aspects related to insurance plans, they don't capture the essence of the member experience with catastrophic coverage as effectively as the small copay or coinsurance. Therefore, this model emphasizes affordable access to essential health services following the initial deductible, making it a defining characteristic of catastrophic plans.