Comparing Health Insurance - What You Need to Know
Finding health insurance that is right for you and that you can afford is often a daunting task. There are so many different health insurance plans out there that understanding what each one means is a time-consuming process. But the best thing you can do for your family when comparing health insurance plans is to take the time to understand what everything means and how much it is going to cost. The following will give you a jumping off point for health insurance, while the rest of the site offers a wealth of health insurance information. Get started today and protect your family's health.
What Kind of Health Insurance Do You Need?
The biggest question that comes up when considering health insurance is the difference between HMOs and PPOs. While these are usually the two main choices for health insurance, there are some additional choices that may apply to your health insurance plan.
Individual Health Insurance or Group Health Insurance
First, if you haven't already checked with your employer about health insurance, you should see if they offer an appropriate health plan for you. This would most likely be a group health insurance plan whose premium is paid for or is partially covered by your employer. If a group health insurance plan is not available to you, then you'll have to look into an individual insurance plan where you would be responsible for the entire insurance premium.
HMO Health Plans vs. PPO Health Plans
There are many differences between an HMO (health maintenance organization) insurance plan and a PPO (preferred provider organization) plan, but there are two main differences that are important to consider: cost and network.
An HMO is an insurance plan that is generally more affordable, but also more restrictive. This type of health plan requires you to choose a primary physician that is in the insurance plan's network of health providers, and any referrals to other doctors need to be within the network. Going outside of the network usually incurs an out-of-pocket expense for you.
A PPO is generally more expensive, but also has a broader network of health providers. In addition, you can go out of the network, and, although you won't always be covered for 100% of the service, you usually will be covered for a certain percentage set by your insurance plan.
Another health insurance plan that may be available is a POS (point-of-service) health insurance plan. Falling somewhere in between an HMO and a PPO, POS insurance requires you to have a primary care physician within the network, but you can also be referred by that physician outside of your insurance plan's network.
Other Health Insurance Factors to Consider
While deciding between an HMO and a PPO insurance plan is half the battle, you also need to consider what kind of coverage each health plan provides. If you plan on having children in the near future, you want to verify that your health insurance plan of choice covers most or all of your maternity needs. If you need a mental health care provider, then be sure your health insurance covers those expenses. On the other hand, you can save money if these are services that you do not need.
The Specifics of a Health Insurance Plan
Once you've narrowed down your health insurance options, it's time to take a look at the fine print. Make sure you know what portion of your health insurance you are responsible for. This includes the amount of the deductible if it applies, the co-payment you have to pay when visiting the doctor, and the percentage of co-insurance that you need to pay.