What is the role of primary insurance?

The role of primary insurance is fundamentally centered around its responsibilities in the billing process for healthcare services. When a patient receives care, the primary insurance provider is the first entity that is contacted to process and cover the claims for that service. This means any allowed expenses for medical treatment are first reviewed and paid by the primary insurance before any secondary insurance or additional coverage is involved, if applicable.

This billing order is crucial because it determines how much the patient may need to pay out-of-pocket after the primary insurance has settled the claim. By being the initial payer, primary insurance provides the first line of financial support for medical expenses incurred by the insured individual. Other options may address aspects related to insurance, such as coverage types or the relationship between different insurance policies, but they do not capture the essential function of primary insurance in the claims process as accurately as the billing responsibility does.