Under Major Medical policies, what happens after the base plan is exhausted?

• A. A deductible corridor applies
• B. Policy ends
• C. No further coverage is available
• D. Coinsurance increases

Answer: (A)

In Major Medical plans, costs are structured in layers: you pay through the base plan deductible, then the plan pays according to coinsurance until you reach the out-of-pocket limits. After the base plan’s deductible has been satisfied, a separate feature called a deductible corridor may apply. This means another deductible amount must be met before the major medical benefits resume at the standard coverage level. The corridor acts as an extra barrier to limit claim costs after the initial deductible has been met.

For example, if the base plan deductible is met, you might still need to satisfy an additional corridor deductible before the plan pays at the regular major medical coinsurance level. Once that corridor is satisfied, coverage continues with the usual coinsurance until the out-of-pocket maximum is reached.

The other options don’t fit because major medical coverage typically continues beyond the base deductible and doesn’t simply end, and coinsurance rates don’t automatically increase because the base plan is exhausted. The deductible corridor specifically describes this secondary deductible step introduced after the base plan is exhausted.