When you are one of millions of individuals in search of affordable health insurance for yourself or family members it can be difficult. Where do you even begin when there are health issues you need to be concerned? On average, there are over two hundred million individuals and families who purchase private health insurance.
At one time, part of the considerations of being employed equated to having the privilege of low cost health insurance. This does not necessarily hold true today. When a new employer offered low cost health insurance as part of the employment package it also meant the employee would receive a percentage less in gross pay.
This was the balance and the consequence of acquiring health insurance through an employer. However, most individuals understood and accepted this fact because the benefits derived from a group health insurance through an employer cost less than trying to purchase a personal health insurance policy based on the individual.
Today there are two main types of health insurance plans, managed health insurance plans, and the indemnity health insurance plans. Managed health insurance plans are offered through Health Maintenance Organizations or HMOs, Preferred Provider Organizations or PPO, and Point of Service or POS. The managed health insurance plans will offer:
- Contracted medical health care physicians
- Contracted community hospitals
- In-network health care
- Lower out of pocket expenses
The Indemnity health insurance plans are the more traditional health insurance plans and have been in existence for well over one hundred years. These health insurance plans offer the recipient the freedom to choose whom they want to see, but the cost will be higher than many of the other health insurance plans. The Indemnity health insurance plans include:
- Reimbursement after delivery of medical health care
- Freedom for individuals to choose the medical health care physician they want to visit
- Freedom of choice of community hospitals
- Freedom to travel anywhere to seek medical health assistance
However all individuals need to decide if they can afford to pay more out of pocket expense and carry a much higher deductible than with other health insurance plans. An individual’s age, occupation, health history, and gender are factors the health insurance provider will take into consideration.
Another factor that plays into the cost factor is your location. When an individual lives in a Midwestern or southern state, the annual cost for health insurance will be less than those who reside on the west coast or the east cost.