Do you think health insurance is expensive? If yes, then you might want to read this article.
Health insurance is a type of insurance that protects against medical expenses. This includes hospital bills, doctor visits, prescriptions, etc. Most employers offer their employees health insurance benefits.
In this article, we’re going to talk about the different types of health insurance plans and how they differ from each other.
What are Health Insurance Plans?
There are many types of health insurance plans available in the market today. Some of them include:
Individual plans
Group plans
HMOs
PPOs
EPBs
HDHP
You can choose any one of these plans depending on your needs and budget. Here’s a quick overview of all the different types of health plans.
Individual Plan
An individual plan covers only one person. It provides coverage for both preventive care as well as treatment services. The cost of an individual plan depends on the amount of money you have to spend on premiums.
Group Plan
A group plan covers multiple people at once. Usually, it has a set limit on the number of members who can be covered under a single policy. Group plans usually provide lower rates than individual plans because there are fewer claims being filed.
HMO/PPO
An HMO or PPO is a managed care organization. It offers a fixed network of doctors and hospitals. Members pay a monthly premium which helps cover the costs associated with their healthcare services.
The advantage of using a HMO is that members get access to a wide range of providers without having to worry about paying out-of-pocket. However, if you need emergency care, you’ll have to pay a higher deductible before getting reimbursed by the insurer.
HDHP
This stands for “health savings account”. HDHPs allow individuals to save money tax free into a health savings account. These accounts are used to pay for qualified medical expenses like co-pays, deductibles, and prescription drugs.
EPB
An EPB is a supplemental benefit offered by some insurers. It allows patients to receive additional reimbursement when they visit a participating provider.
Choosing the Right Insurance Plan
Before choosing a health insurance plan, you should know what kind of coverage you need. For example, do you need dental coverage? Do you have a family history of cancer? Are you planning to start a business soon?
If you don’t know the answers to these questions, you may end up buying a plan that doesn’t fit your needs. That would mean wasting your hard earned money.
Here are some tips to help you choose the right health insurance plan.
1. Compare the Costs
When comparing health insurance plans, make sure you compare apples to apples. Don’t just look at the price tag. Make sure you understand what the differences between the plans are.
For example, does one plan cover more procedures than another? Does one plan require a higher deductible than the other? Is one plan better suited for someone who smokes than the other?
2. Make Sure Your Needs Are Covered
Once you’ve chosen the best plan for you, make sure that your needs are covered. There are certain things that every health insurance plan must cover. They include:
3. Preventive Care
All plans must cover preventative care such as routine checkups, vaccinations, mammograms, pap smears, etc.
4. Treatment Services
Every plan must also cover treatment services like diagnostic tests, surgeries, physical therapy, etc.
5. Emergency Care
Some plans will not cover emergency room visits. Others will cover them but charge high fees for doing so.
6. Deductible
Some plans have a higher deductible than others. A higher deductible means that you’ll have to pay more out of pocket before receiving reimbursement.
7. Coverage Period
Most plans last for a year. However, some plans cover a longer period of time. For example, some plans cover two years instead of one.
8. Benefits
You should also consider the benefits that come along with your plan. Some plans provide free preventive care while others only give partial reimbursements.
Health insurance can be confusing. But once you learn about all the different options available to you, it’s easy to find the right plan for you.
HealthBridge Insurance Solutions has helped thousands of people just like you get the right health insurance coverage. Get a free personalized quote from us today! Find out what health insurance plans are available to you and which ones match your budget and lifestyle. Call HealthBridge Insurance Solutions today to learn more!