With the healthcare charges skyrocketing, people often find themselves in a financial crunch when it comes to paying their medical bills. This is where a health insurance plan comes to their rescue. With different types of health insurance plans available, one can choose the most suitable one and save themselves from getting squeezed under huge medical bills.
Mandatory in many states, health insurance helps people to pay their medical bills, hospitalization charges and other payments for healthcare. A wide array of health insurance plans are available in the market – both cheap and expensive. With this many options, it becomes difficult for people to learn of all the plans and choose the most suitable one.
Some of the health insurance plans are explained below.
Group Health Insurance Plan
To ensure better productivity, companies in US are becoming more and more employee-centric. Hence, they keep on introducing one or the other benefits to increase the employee morale. Among all these benefits offered, Group Health Insurance Plan is a preferred option. This specific insurance plan helps employees to avail certain benefits which are unaffordable in other health insurance policies.
Employees usually get discount on the premiums of this health insurance plan. In addition to that, employees who cannot be included in any other type of health insurance due to medical issues usually get included in Group health insurance plan.
Individual Health Insurance Plan
This insurance plan is mainly a personal health insurance policy and includes individuals who work in small scale organizations or are professionals. Presently there are a wide variety of individual health insurance plans available in the United States. They are:
* Preferred Provider Organization (PPO): This organization of health care providers offer health insurance plans at a discounted rate. They usually have contracts with the insurance companies and offer freedom to the individuals to visit any doctor of their choice without the reference from the chief physician. The premium that the insurers need to pay in this plan is a little higher to that of a HMO plan.
* Health Maintenance Organization (HMO): This is one of the most cost-effective plans and covers the services rendered by those physicians who treat their patients according to the HMO’s guidelines.
* Health Savings Account Plan (HSA): This is a tax-free savings account where individuals with High Deductible Health Plan (HDHP), can deposit money to meet their medical expenses. If the fund in their accounts remain unspent, they get rolled over and are accumulated at the end of each year.
* Point Of Service Plan (POS): This plan is a blend of both PPO and HMO plans and is characterized with low medical cost in exchange of a limited choice. Individuals enrolling for this plan need to select a chief physician from the health care network. In case individuals choose to opt for a doctor outside the network, then they have to pay a higher price with a limited compensation from the health insurance company.
* Fee For Service Plans (FFS): This plan allows insurance holders to take health care decisions independently. The holders pay for the service and then submit detailed insurance claims with the health insurance company. If the services availed by the holders are covered under this plan, the insurance agency reimburses the amounts.
Family Health Insurance Plan
This insurance plan covers individuals along with their family and help them meet any sort of sudden heath problems. Family Health Insurance Plan is suitable for professionals, students, freshers and unemployed. This plan is available to individuals of all ages up to a maximum limit of sixty years of age. There are several benefits of this type of insurance;
* This plan is less expensive compared to group plans.
* With this insurance, the entire family is safeguarded from a sudden health crisis.
* Unlike group insurance plan, individuals can choose this plan according to their requirements.
* Insurance holders can enjoy tax benefits and premium discounts which are not available in any other plans.
* Unlike group insurance, family health insurance plan remains active as long as the individuals pay the premium.
Beside these plans, there are Small Business health insurance plan, Student health insurance plan and other insurance plans available for US citizens. To get the best insurance policy for yourself and your family, you are advised to run a quick check online where you can find companies offering you solutions on how to find affordable health insurance plans.