Copayments, often referred to as copays, are a form of cost-sharing utilized by health insurance plans. They specify a predetermined amount that the insured individual must pay out-of-pocket for various services, such as doctor visits, specialist consultations, or prescription medications. The key feature of copayments is that they are set amounts rather than a percentage of the total bill. For instance, a plan may require a $20 copayment for a regular physician visit. This amount is paid directly at the time of the appointment, and the insurance plan covers the remaining costs, subject to its terms and conditions. Copayments can vary based on the type of service and whether the provider is in-network or out-of-network. The use of copayments aims to control healthcare costs while ensuring that insured individuals share the financial responsibility for their healthcare services.