Everyone must accept Plan A. You then have the option of selecting a second plan: B or C. So everyone whill have a combination of either A and B or A and C.

Before Insurance supply is P=5 and demand is P=15-.5Q

Insurance plan B covers full coinsurance of plan A

Insurance plan C covers 1/2 the coinsurance of Plan A

Suppose you work for insurance company A. You are asked to calculate how much your company's payouts will increase if a customer selects B as their additional plan rather than C.

(hint: You can show this graphically by shading different areas after you found demand with A only, and then added to that B or C.)