Approved Amount (Health Care) Law and Legal Definition

Approved amount in the context of health care refer to the amount medicare determines as reasonable for services related to the delivery of health care, including the costs of procedures, therapies, and medications and that is covered under medicare part B plan. It may be less than the actual amount charged for the services. For all services covered by part B, a beneficiary must pay a co-insurance of 20% of the medicare-approved amount after s/he meets the yearly deductible.