What You Need to Know About Health Insurance

The United States spends more on health care than any other county worldwide. The topic of personal insurance is a difficult one to wrap your head around, especially when there’s such a wide range of options out there.Image Source

You can’t overstate the importance of personal well-being. It provides you with a sense of security in case of an injury or severe disease and allows you to take preventative measures to combat certain illnesses.

What You Could Get for Your Money

Investing in your well-being is one of the smartest things you’ll ever do. We never know what’s waiting around the corner, so having a plan can protect you if the worst was ever to happen. Picking a medical scheme for you or your family is an investment in your future.

Health insurance by HealthMarkets allows you to compare all the types of care plans available in your area and decide on one that fits your specifications. Look for a scheme that fulfills your needs and provides the scope of coverage you require.Image Source

Health Maintenance Organization (HMOs)

This option provides coverage through a network of medical practitioners. For an annual/monthly fee, you get access to a range of doctors contracted by the HMO. It’s prudent to keep in mind that some costs could come from your pocket and to ensure that any special requirements you have are covered. 

A broad range of services are covered, and there isn’t usually a deductible that you need to reach before the insurer covers your medical costs. Many HMOs have preventative services, ensuring you’re able to treat something before it becomes a problem.

Preferred Provider Organizations (PPOs)

For this type of scheme, they prefer if you see doctors and visit hospitals that form part of the PPOs network. Fortunately, you may also see practitioners outside the designated system. You can also visit specialists without a referral from your primary doctor.  

Regrettably, you need to reach a deductible before the medical aid covers the costs, and some procedures require a co-payment. The benefit of this scheme is the freedom to choose the doctor you want.

Point-of-Service Plans (POS)

It’s sometimes referred to as the hybrid of the HMO and PPO schemes. The point-of-service scheme lets you use physicians within the network, but they can then refer you to specialists who operate outside of that system as well.

This plan also offers more significant coverage to those who follow their primary care physician’s (PCP) recommendation and use services covered by their policy. If you don’t follow the PCP’s advice, you may be required to meet a deductible, be offered a lower level of coverage, and pay upfront to receive reimbursement later on.Image Source

Exclusive Provider Organizations (EPO)

These plans only permit services offered by doctors and hospitals within a specific network. Emergency care is generally covered. You’re usually also tasked with selecting a primary medical practitioner.

If a specialist is needed, you don’t need a referral letter from your PCP to see a specialist within the network. Small copayments and deductibles also apply, but your monthly premiums stay relatively low due to the practitioners’ and insurers’ agreement.

High-Deductible Health Plans (HDHPs)

These schemes have a high minimum deductible, meaning the portion you pay for medical expenses outside your premium. Once you’ve paid that sum, the outstanding amount gets settled by the insurer. This high deductible allows for a lower annual or monthly installment.

Some feel that this option also allows individuals to be more conservative with what they spend because they’re more aware of their medical expenses. This option makes sense for people who don’t visit the doctor often and only need coverage in serious emergencies.

Health Savings Account (HSA)

This functions as a savings account that you use for approved health care expenses. You’re only eligible if you have a high-deductible medical plan already. The HSA can help cover those high-deductibles and have some valuable tax benefits.

The money in your health savings account (HSA) carries over to the next year and isn’t subject to income tax. This allows your money to grow so you can use it when you need it the most. Expenses such as dental care and general medical services get paid for with this money.

The Takeaways

The merit of each scheme is measured individually. Do careful research and understand your options. Compare those you have in mind critically to make sure there aren’t any unforeseen complications. Your well-being comes first, so never take it for granted. Do you best to stay fit; it might even help reduce your monthly insurance premium.

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