When one covers their healthcare needs with the help of an insurance plan, it will always reduce the hassles involved at the time of illness. However, more often than not, families, businesses or even individuals prefer going in for customized insurance plans that would not require them to shell out large sums of money.
The new healthcare reforms have brought about a number of positive changes with regard to health insurance. Not only is there a demand for greater price transparency by clients but the time involved in applying and waiting for your insurance to come through, has drastically reduced too.
What are the options of health insurance available to people?
While one can easily opt for government sponsored insurance programs, there are many private companies offering health insurance as well. Some of the different types of health insurance that are available include – individual health insurance, short term insurance, dental health insurance, small business insurance, student health coverage, low cost insurance, group insurance, family health coverage, low-income health insurance and more.
One thing you must keep in mind is that discount coupons which are sometimes referred to as health plans, are not really so. There are two traditional categories that exist in health insurance. The managed care health plans and the indemnity health plans. Under the former, the provider can file a claim for the person who has been insured under that scheme while the latter allows the insured person itself to file for reimbursement.
How much money does one have to shell out for their health insurance?
Before you finalize your health plan, you should make sure you are aware of just how much money you’ll have to spend. The money that is required to be paid on a monthly basis, is called premium. The premium is the main cost which is not fixed across people or insurance plans, it can easily vary from one to the next. The deductible is the money paid by a person before the insurance coverage begins. Higher deductibles are usually balanced with lower premium costs.
Coinsurance refers to the percentage of medical services that the person pays, after paying the deductible. Mostly, about 20% is covered by the customer. Lastly, there is the copay cost. This is quite similar to coinsurance but is seen in terms of real value.