what is an eob in medical billing

An EOB stands for Explanation of Benefits, which is a statement from your health insurance plan describing what costs it will cover for medical care or products youve received. It is not a bill, but rather a document that shows how your bill is broken down between the medical service provider(s), your insurance, and you. An EOB is generated after a health care provider bills your insurance company for the care you received. The EOB contains important information such as your patient details, the medical services you received and from whom, the amount billed, the discounts, and the amount you may owe. It also includes a description of each code, which is usually 2 or 3 letters and numbers, that explains more about the costs, charges, and paid amounts for your visit. It is important to review your EOB to make sure it is correct and to save it when it comes in the mail, as it can help ensure you are receiving the full benefit or discount that you are entitled to under your insurance plan.