You can learn about health insurance companies right now just by typing your ZIP code in the FREE search tool provided!
Before choosing which health insurance company to insure with and the right plan for your needs, you should do your research! You also should be aware of what is most important for your current and future health needs as well as what your budget is.
Types of Health Insurance
Health insurance companies sell a variety of insurance plans. A big one is employer offered group health insurance. This type of insurance is meant for businesses and their employees. Whether the business is a small company or a large one, there are group health insurance plans available.
If your business does not offer health insurance coverage or you are self-employed, you are eligible for individual health insurance. There are a lot of options for individual health insurance that can fit in with almost any budget. If you do not get health insurance through your job and have a family to insure as well, look into family medical health insurance policies. This type of health insurance is usually less expensive than insuring each member of your family individually.
Differences Between Health Insurance Plans
Within each type of health insurance you can choose what type of plan you would like. According to the Insurance Information Institute, there are two different kinds of insurance plans- managed care and indemnity plans. Under managed care you have the options of a PPO (preferred provider organization), an HMO (health maintenance organization), or POS (point of service). Each has its own benefits and negative aspects.
- A preferred provider organization gives you the most flexibility. You can choose a facility or doctor either in or out of the network and still be covered by your health insurance company. The difference is that the deductibles and co-pays for out of network care are higher than in network care.
- A health maintenance organization is a more affordable choice when compared to a preferred provider organization. When you have HMO health insurance policy, however, you have to choose a doctor or clinic that is in network in order for your health insurance to cover the services. You also have to have a referral in order to see a specialist.
- A point of service plan is a plan in which you choose a primary doctor who makes referrals to other doctors and providers. If he or she gives you a referral, most of the visit will be covered by your health insurance. If you simply go yourself without a referral, the service may be covered to a certain extent but you would be responsible for more money out of pocket.
- Indemnity plans are basically a fee for service plan. The different indemnity options include essential and basic health plans, indemnity plans, flexible spending plans, high deductible plans, and health savings accounts.
- A health plan that covers essential and basic care will be a cheaper option but usually has limited coverage. With an indemnity plan you can choose your own provider and there is a limit on how much you pay out of pocket each year. A flexible plan is available through your employer and allows you to choose your own benefit package, including a cash option.
- A health savings insurance account allows you to save money in a tax free account. These funds are then used for health expenses of your choice. This is usually chosen in conjunction with a high deductible plan.
How to Choose a Health Insurance Company
There are a lot of choices when it comes to health insurance companies. Some are known more for certain specialties, whether it is group plans or individual plans. One way to find a good health insurance company in your area is to do an online search.
Another way to choose a company is to go to the website of J.D. Power and Associates and click on your state. You will see customer ratings of popular health insurance companies in your state and you can choose one based on that.
You can quickly find and compare rates from different health insurance companies in your local area right now just by filling in your ZIP code in the FREE search tool!