The Truth Behind Health Insurance Costs


Health Insurance is often a confusing subject. For this very reason, it is vital to comprehend the options provided by your health insurance plan in relation to the medical coverage.

Let’s attempt to dissect the topic in order to grasp the basic fundamentals behind health insurance.

What’s the Purpose Behind Health Insurance?

Health insurance is basically for safeguarding you from high costs of medical care by providing coverage for specific health care services. You basically make a monthly payment along with insurance which is quite lower than it would be for medical care if it the total expense would be borne by you.

Main Types of Health Insurance Policies

Different types of plans cover all surgical, hospital and medical expenses. Depending on your individual plan it may also include cover prescription drugs or have dental and mental health coverage. The managed care plan supplies coverage comprehensive health service along side several financial incentives through decreasing the burden of costs for patients. Over 50% of the US citizens have adopted for the managed care plan as of now.

The three basic types are:

• Point of Service (POS)

• Preferred Provider Organization (PPO)

• Health Maintenance Organization (HMO)

Health Insurance Premium: What is it?

Health Insurance Premium is an amount you are obliged to pay for services covered in a defined period as per you plan before the plan pays any benefits.

How do I Select the Right Health Insurance Plan?

You can select from a wide range of options through your employer. In the case where you want to buy your own coverage, it is important to understand your options and choose the plan that is right for you and your family.

Health Insurance Deductible: How Does it Work?

Deductibles are an amount that has to be paid for services covered during a specific term as per you play before the plan pays any benefits.

Copayment: What is it?

Copayments are the specific percentage that you are obliged to pay in relation to the benefits.

Majority of the HMO plans come with co-payments for specific services such as hospital stay, visits to the doctor, prescription services, etc.

Changes are Expected

With the talk about changes to the existing system in place, there has been an overwhelming belief that the state will now be paying a guaranteed amount of health care. However, the necessary financial mechanisms to protect the masses against the downfalls will not be covered by the state. This trend is expected to affect the growth of payments cost towards medical services by insurance company covers under the supplementary health insurance. Currently, changes to the pricing in the future is expected to improve health care facilities as the possible change in premiums for supplementary health insurance will be insured and in accordance with legal regulations.

Barich and Associates are here to help you with our combined insurance experience for our entire staff is over 50 years. We have a full-time staff and approximately 20 outside sales associates. All of our sales associates are required to hold active Life and Health insurance licenses in order to serve our clients. Barich & Associates Insurance Marketing Services can help you cut through all of the marketing hype and make sure you have the best insurance plan available to you. Call us or get a FREE quote today!

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