coinsurance

Coinsurance is a term used in insurance to describe an arrangement where two or more insurers share the risk and costs of a policy.

Part of speech: noun

Pronunciation: /koʊˈɪnʃərəns/ (koh-IN-shuh-ruhns)

  • Synonyms: shared insurance, co-sharing, joint coverage
  • Confusable words: copayment, deductible

Example sentences:

  • Under the coinsurance agreement, each insurer must contribute a certain percentage of the total cost.
  • Coinsurance can be beneficial for policyholders as it can lower premiums and share the risk between insurers.