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Glossary
A negotiated rate is the amount an insurance company agrees to pay for a medical service or supply from a specific doctor or group.
A negotiated rate, sometimes called an allowed amount (opens in new tab) or adjusted rate, is the amount an insurer contracts to pay for all the procedures and services a doctor, medical facility, lab, or pharmacy covers. Negotiated rates are typically below full price, so even if you have a plan with a high deductible (opens in new tab), negotiated rates can still help you save money on health care.
When you visit health care providers who accept your insurance (e.g. are in your insurer's network (opens in new tab), you're charged the negotiated rate for covered services. Depending on your plan, you may be responsible for this full amount if you haven't met your deductible, your insurer might share the bill with you, or your insurer might pay the full bill.