You should also consider asking for advice from people or reading reviews of the insurance providers. That will let you know the advantages and disadvantages of the insurance plans. Every insurance company has different types of health insurance plans.
Every type of health insurance plan has its advantages and disadvantages, and it all depends on you to choose which one works for you best.
1. Health Maintenance Organizations
These insurance plans cover all health services via a network of health facilities and health care providers. The payments involved include;
• A premium.
• Deductible paid before the insurance plan covers for the expenses, unless you are receiving preventive care.
• Co-insurance and/or co-pays. Co-pays are flat fees that you pay after you receive medical services, and co-insurance is the percentage of the medical bill you pay. These payments differ depending on your plan, and they are counted towards the deductible.
1. HMOs cover the majority of your preventive care needs, like immunizations and specialist visits.
2. You do not have to fill out any claim forms.
3. The monthly payments are lower and fixed and lower out-of-pocket payments.
4. You get to choose your primary caregiver to manage and coordinate your health care.
1. You have minimum freedom to select your doctors or other health care providers. You can only see a doctor listed in your HMO’s network; otherwise, you pay for the whole bill.
2. You can’t see a specialist unless your primary caregiver gives you a referral.
3. You have to wait for longer to get an appointment.
These are the best plans if you have a family and you need to visit your primary care doctor often for check-ups. They are also good if you do not mind the trade-off of the in-network medical services, prefer lower premiums, and if you regularly need preventive services.
2. Preferred Provider Organization
PPOs are a network of health care facilities, hospitals, and doctors, who enter into contracts with specific insurance companies to provide clients with a managed healthcare plan. All the health care providers under the network agree to a rate for all the clients with the plan. Payments involved;
• Co-insurance and co-pay.
• Extra costs if you visit an out-of-network specialist who charges more than an in-network specialist.
1. You do not have to receive a referral from y our primary caregiver to see a specialist.
2. You can visit an out-of-network doctor or facility.
3. PPOs have a bigger network of doctors, hospitals, and other health practitioners and facilities for you to choose from
4. You can see a doctor who is out of the network, but for that, there is an extra amount of out-of-pocket cost.
1. Higher out-of-pocket payments.
2. A lot of paperwork.
3. More responsibility in terms of managing and coordinating your medical care.
3. Exclusive Provider Organization
These are like hybrids of the HMO and PPO health insurance covers, and they also have a network of health practitioners, hospitals, and healthcare facilities. Depending on the type of your health care, you may have a primary health caregiver, but it is not necessary.
• Co-insurance or co-pay.
• Other costs if you visit a hospital or consult a specialist who is not in the plan’s network.
1. You can visit a specialist without a referral from primary health caregivers.
2. You pay lower premiums than for a PPO.
3. Minimum paperwork is done.
4. You can receive emergency medical services.
1. They do not cover for health services received from hospitals or by specialists who are not within their network, except during emergency cases.
2. Have higher deductibles.
4. Point-Of-Service Plan
POS insurance plans blend the Preferred Provider Organization and Health Maintenance Organizations plan features. They mostly cover preventive care, and that makes them cost-effective.
Just like with a Health Maintenance Organizations plan, you need to have a primary caregiver to coordinate your care and give you referrals to specialists within the network when needed.
• Co-insurance or co-pays.
1. The network of hospital and healthcare providers is smaller than that of the Preferred Provider Organization.
2. You get more freedom when choosing a doctor or hospital in Health Maintenance Organizations.
3. You may visit a facility or a doctor that is not within the plan’s network but at a higher price.
4. Cheaper than PPOs.
1. A lot of paperwork is involved if you consider visiting an out-of-network health facility or specialist.
5. Catastrophic Plans
This is an insurance plan that is best for people who are at most 30 years or those who are homeless, evicted, have suffered domestic abuse, have filed for bankruptcy, have their utility services shut off, or have a dead family member.
• Deductible of $8,150 for individuals and $16,300 for your family. Once you have reached the deductible, the plan pays for all your medical bills.
1. You get three primary care visits to a doctor before deductibles are applied.
2. Lower premiums.
3. You get free preventive care, regardless of whether you have met the deductible or not.
4. They cover a lot of services like hospitalizations, lab work, emergency services, maternity, pregnancy, and newborns, prescription drugs, substance abuse disorder and mental issues, chronic disease management, ambulance services, and rehabilitation services.
1. A lot of paperwork involved because you have to have a record of your medical expenses to prove that you have met the deductible.
2. High deductibles.
6. High-Deductibles Plan
This insurance plan allows you to pay less for the insurance. You can choose between a PPO, HMO, POS, or EPO insurance plan. Many bronze health insurance plans may qualify as high-deductible plans, depending on the deductibles paid by the clients.
You get to choose the doctors and hospitals you want to visit depending on the plan that you choose. Once you have attained a maximum of the deductibles, the plan pays for 100% of the rest of your medical bills.
• Co-insurance or co-pays.
1. You can create a health savings account, and the money you deposit there will not be taxed.
1. More out-of-pocket costs.
2. High deductibles which range between $1400- $6,900 for individuals and $2,800- $13,800 for families.