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Health insurance is arguably one of the most popular types of insurance. A health plan is something you should always have if you can afford it.
They are many types of health insurance, and you should, therefore, ensure you have one, even if it is the most basic one. Health insurance coverage can save you the agony and financial distress that comes with health challenges.
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Depending on what you can afford, you can have an insurance plan that covers all your health challenges, or one that can cater to a part of your medical bills.
We’ll get a better perspective of this when we explore the various types of health insurance available.
Table of Contents
1. Fee-for-Service Plans
Fee-for-service health insurance plans are simple and straightforward. That means that you will have to pay up to a certain amount before the insurance kicks in and starts paying. This kind of health insurance gives you complete autonomy. You get to decide which hospital, specialist and care you want to go for without consulting the insurance company. The insurer will still take care of the costs from the point where it is supposed to.
2. Preferred Provider Organization (PPO) Plans
As the name suggests, PPO plans offer a situation where you get to choose the health facility you will be getting your healthcare from. You will always need to get your healthcare services from that particular facility so that the insurance company can take care of the costs. That means that the insurance will not come in if you get your healthcare somewhere else. This cover can have a deductible as well. It all depends on your financial capacity and your agreement with the insurance company.
3. Point-of-Service (POS) Plans
POS plans are similar to the PPO plans that there is a Primary Care Physician. The PCP is the only person you can go to if you want to be sure that your healthcare services will be catered to by the insurance company. The cover is not sufficiently restrictive, though. Your PCP can refer you to a doctor, and the insurance company will take care of it, as long as the doctor you go to see is within the insurance company’s network. If you want to see another physician, you need first to get the green light to ensure they will take care of the costs.
There are many types of health insurance nowadays. The above examples are just the basic ones. Note that no one health insurance is better than the others. It all depends on your specific healthcare needs. Insurance companies are very different nowadays. Their health insurance covers are also quite different. You need to explore carefully to find the cover that would be best suited for you. The bottom line is to ensure your healthcare needs are adequately taken care of.
