Health Costs. Assume that you have a (relatively simple) health insurance plan with the following provisions: Annual deductible is $500. Insurance company pays 100% of all costs after deductible and co-payments. Office visits require a co-payment of $25. Emergency room visits have a $200 co-payment. Surgical operations have a $1000 co-payment. You pay a monthly premium of $350. During a one-year period, your family has the following expenses. Service Total cost (before insurance) Feb. 18: Office visit $100 Mar. 26: Emergency room $580 Apr. 23: Office visit $100 May 14: Surgery $6500 July 1: Office visit $100 Sept. 23: Emergency room $840 Determine your health care expenses for the year with the insurance policy. Determine your health care expenses for the year if you did not have the insurance policy
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
Health Costs. Assume that you have a (relatively simple) health insurance plan with the following provisions:
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Annual deductible is $500. Insurance company pays 100% of all costs after deductible and co-payments.
-
Office visits require a co-payment of $25.
-
Emergency room visits have a $200 co-payment.
-
Surgical operations have a $1000 co-payment.
-
You pay a monthly premium of $350.
During a one-year period, your family has the following expenses.
| Service | Total cost (before insurance) |
|---|---|
| Feb. 18: Office visit | $100 |
| Mar. 26: Emergency room | $580 |
| Apr. 23: Office visit | $100 |
| May 14: Surgery | $6500 |
| July 1: Office visit | $100 |
| Sept. 23: Emergency room | $840 |
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Determine your health care expenses for the year with the insurance policy.
-
Determine your health care expenses for the year if you did not have the insurance policy.
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