What does EOB stand for?

What does EOB stand for?

• A. A document from insurer explaining payment details.
• B. Explanation of Benefits; a document from insurer explaining what medical treatments were covered and how much was paid.
• C. A form used to bill professional services.
• D. A certificate to expand services.

Answer: (B)

EOB stands for Explanation of Benefits, a statement from your insurer that explains how a claim was processed. It details what services were billed, which ones were covered, the allowed amount, how much the insurer paid, and what you may owe. It may also show deductible, coinsurance, and copays, along with any reason codes if something isn’t covered or is paid differently. An EOB is not a bill you need to pay; a separate bill may come for your portion. This document helps you verify that your benefits were applied correctly and spot any billing errors.

EOB stands for Explanation of Benefits, a statement from your insurer that explains how a claim was processed. It details what services were billed, which ones were covered, the allowed amount, how much the insurer paid, and what you may owe. It may also show deductible, coinsurance, and copays, along with any reason codes if something isn’t covered or is paid differently. An EOB is not a bill you need to pay; a separate bill may come for your portion. This document helps you verify that your benefits were applied correctly and spot any billing errors.