Health Insurance

You need health insurance to receive help paying for your medical care. The policy means an insurer pays for a portion of your medical and surgical expenses. In most cases the insurance company pays your expenses to the provider. But you might have a type of plan where you pay out-of-pocket and then receive reimbursement from the insurance company. When you purchase coverage for yourself, you are referred to as the ‘insured’. The “provider” is the health care practitioner, doctor, hospital, clinic or pharmacy.

Importance of Health Coverage

Everyone gets sick at some point. You could be in the best of health one day, and the next find yourself in hospital. Also, it is a good idea to have regular checkups to catch any problems early. This is why the affordable health care act makes it necessary for every American to carry some form of health coverage. In the US, failing to carry the mandated level of health coverage results in penalties.

The Necessity for Assistance

Healthcare costs have skyrocketed out of this world. It is almost impossible to get adequate medical care without insurance. Most people cannot pay for preventative care, prescription drugs, hospital stays, or doctor’s appointments without insurance. You do have to pay a deductible towards your medical bill, but it’s nothing compared to what you would pay without insurance. There might also be a balance after the insurance pays its part, but it still is not as bad as nothing having help.

Healthcare Plans

There are many different types of plans. Indemnity Plans, Health Maintenance Organizations (HMOs), Preferred Provider Organizations (PPOs), Exclusive Provider Organizations (EPOs), Point of Service (POS), and Health Savings Accounts (HSAs). All of these types have their advantages and disadvantages. It is important to understand what type of coverage is available to you.