What is a coordination of benefits statement?

A coordination of benefits statement is a document used in healthcare insurance that outlines how multiple insurance policies will work together to cover a patient's medical expenses. It specifies which insurance provider is the primary payer, responsible for paying first, and which is the secondary payer, covering remaining costs. This process helps prevent overpayment and ensures that patients receive the appropriate coverage based on their insurance plans. It is commonly used when an individual is covered by more than one health insurance policy.