What is the purpose of an Explanation of Benefits (EOB) document?

The Explanation of Benefits (EOB) document serves a key role in the medical billing and insurance process, primarily by detailing what services were covered by the patient's insurance plan. When a healthcare provider submits a claim for payment to an insurance company, the insurance company processes this claim and generates an EOB.

The EOB outlines important information such as the services that were billed, the amount the insurance will pay, any deductibles that were applied, and what portion of the costs the patient is responsible for. Therefore, it provides clarity for the patient regarding their coverage and financial obligations following a medical visit. This transparency helps in understanding how much of their medical expenses will be covered by insurance, which is crucial for effective healthcare management and financial planning for the patient.

In contrast, the other options do not accurately describe the function of an EOB. Medical history is documented in a different type of record, appointment scheduling is handled through other administrative processes, and patient identity verification typically involves different methods such as checking identification or insurance cards rather than an EOB.