Having a good health insurance plan may keep you from financial devastation even as a minor accident or unexpected health problem can cost thousands of dollars. Although the cost of health insurance continues to rise, it is something that most individuals and families cannot afford to go without. However, if you don’t understand the differences in health insurance plans, you could end up paying too much for health insurance or you may risk not having enough health insurance when you need it.
It is important to stay informed about health insurance in order to choose the type of plan that is best for you. When circumstances in your life change, such as starting a new job or becoming self employed, having knowledge about health insurance will enable you to make the right decisions for you and your family. Learning about the advantages and disadvantages of each type of health insurance is important. You should also understand how health insurance policy rates vary and how an individual or family insurance policies are designed.
Understanding The Two Health Insurance Categories
You should be aware that there are two categories of health insurance, Basic and Major Medical. These are known as indemnity plans.
Basic Plans
A basic health care plan will cover costs such as hospital stays, surgeries and emergency treatment. In most cases these plans will pay one hundred percent of the cost. However there may be a maximum amount the plan will pay for.
Major Medical
A Major Medical plan will cover a broader range of services. This plan usually covers hospital stays, surgeries and emergency treatments. Most major medical plans will also cover prescriptions, x-rays, lab tests, dental and mental health services. There are usually deductibles and out of pocket expenses required with this plan. However, the dollar limit of total payments is higher than that of a basic plan.
Managed Care Plans
Managed Care Plans involve an arrangement between the insurer and a selected network of healthcare providers. Managed care plans such as Health Maintenance Organizations (HMOs), Preferred Provider Organizations (PPOs) and Points of Service (POS) generally cover a broad range of services
Things You Should Know About Your New York Health Care Plan
The following are some things you should know about your health care plan. If you do not know the answers to the following questions it is a good idea to ask your health care provider.
- How do I know if my physician is covered under my plan?
- Does my plan cover specific needs such as vision, prescription drugs, dental or maternity?
- What co-pays, deductibles and coinsurance requirements apply?
- Does my plan cover pre-existing conditions or is there a waiting period?
- Do I need a referral to get additional services?
When shopping for health insurance you should look for the one that will fit your needs and give you the most benefits and flexibility for the lowest cost.
See how easy and convenient shopping for New York health insurance can be. Get your free New York health insurance online quotes today.
