What does the Stop Loss Feature in health insurance refer to?

The Stop Loss Feature in health insurance refers specifically to the total annual out-of-pocket expenses that a policyholder is required to pay before their insurance plan begins to cover 100% of the costs for covered services. This feature is designed to protect individuals from high medical costs by capping the amount they would have to spend out of their own pocket in a given year. Once the insured's expenses reach this limit, the insurance provider takes over the expenses for any additional covered services for the rest of the year, ensuring financial protection against catastrophic health events.

In contrast, the other options refer to different aspects of health insurance. The maximum premium limit pertains to the amount the insurer is willing to charge for coverage, but this does not encapsulate the essence of stop loss, which focuses on out-of-pocket costs for the insured. The deductible amount is the portion that must be paid by the insured for services before the insurance starts to pay, which is not the same as the total annual out-of-pocket limit. Lastly, the maximum coverage limit per service relates to the cap on what the insurance will pay for individual services, which again differs from the comprehensive financial protection offered by the stop loss feature. Each of these options addresses different aspects of health insurance, but option B