The maximum amount of certain covered charges you have to pay out of your pocket during the year. Setting a maximum amount protects you. Separate limits are usually applied on a per person and per family basis.
The highest amount of a money a person would be required to pay out of his or her own pocket during a certain period of time for certain covered health-care charges.
The highest amount of money you have to pay out-of-pocket during a given period of time for certain services. After you have reached the catastrophic limit, a higher level of coverage begins.