How the percentage applies
If your reimbursement rate is 80%, the insurer pays 80% of the eligible amount and you pay the remaining 20%. What counts as eligible is defined by the policy, so non-covered items are subtracted first.
Choosing a level
A 90% rate leaves you with less to pay per claim but costs more monthly. A 70% rate does the reverse. If you rarely expect claims, a lower rate can be a reasonable trade for a smaller premium.
Actual-cost versus benefit-schedule payouts
Most plans reimburse a percentage of the actual invoice. Some pay according to a fixed schedule of maximum amounts per condition. Ask which method applies before comparing prices.
Sources and further reading
This guide explains general industry practice. For the terms that apply to you, rely on the policy documents from each insurer you consider and on the consumer resources published by your state insurance department.