© 2007
Health Insurance
Quotes by RevCoday
Texas License#1465540 Life, Accident, Health and HMO
Mansfield, Texas | (817) 781-9982
Texas Health Insurance Basics
Health insurance. Everyone needs it, but not everyone has it.
And with medical expenses on a seemingly endless rise, paying
out-of-pocket for them could land you in the poor house. So when
choosing a health insurance plan, it’s good to know the basics to
help you make better, more financially sound choices when
selecting a plan.
Health insurance plans generally fall into one of three
categories: indemnity plans, also known as reimbursement plans,
preferred provider plans (PPOs), and managed care plans (HMOs).
An indemnity plan allows you to choose your own doctors and it
completely pays for your medical expenses, either in full or
according to a schedule of benefits. The schedule of benefits may
be substantially less than your actual costs. Preferred provider
plans and managed care plans can provide broader coverage, but
they involve an arrangement between the insurer and a specified
network of health-care providers. In addition, managed care plans
require pre-approval of many health care services. For example, an
HMO may require that a primary care physician in its network
coordinate all of your care as well as refer you to specialists
that belong exclusively to the network.
No matter which kind of health insurance you buy, make sure it
provides you with the right kinds of coverage. And when it comes
to coverage, a good health insurance plan should offer several
types. For example, hospital expense insurance pays room and board
as well as incidental services costs if you're hospitalized. A
surgical expense insurance covers surgeons' fees and all other
related costs. A physicians' expense insurance policy pays for
visits to a doctor's office or when a doctor's visits you in the
hospital. Finally, major medical insurance offers very broad
coverage with an extremely high maximum benefit that's designed to
protect you against losses due to serious illness or injury.
So what might be covered in a health insurance plan? When
comparing plans, make sure they provide additional benefits that
you may need, including:
o Prescription drugs
o Preventive care
o Mental health benefits
o Maternity care
o Vision care
And what can all this cost? In addition to the monthly premium
expense, there may be other out-of-pocket expenses that can really
add up, especially if you have children or other family members
who make frequent visits a doctor. You should check to see if the
health insurance plan you're considering asks you to pay any or
all of the following:
o Co-payment — The amount paid for each visit to a health
insurance provider. This is generally required by HMOs.
o Deductible —The amount paid toward your medical expenses,
most probably annually, before the insurance company pays any
claims. This is generally required by indemnity plans.
o Coinsurance — The percentage of your medical costs paid after
reaching any applied deductibles.
Now that you’ve established the why and what of health
insurance, you need to find out where you can get it. Health
insurance can be acquired through a group plan at work or through
a group affiliation, such as a school, a club, association, etc.
Or you can purchase an individual plan. When buying an individual
health insurance plan, you can most probably customize it for your
particular needs. If you’re looking for an individual plan, start
by going online to compare coverages and rates from a number of
companies to find the best plan and rate that meets your needs.
You now know the what’s, why’s and where’s of the health
insurance game. Your next step is to select the best health
insurance plan that meets your needs. You should select one that
gives you the greatest flexibility and the best benefits for the
lowest cost. Since this is a major purchase, you should shop
around and get several quotes before choosing a plan. But before
you dive in, here are a few things to consider:
1. Co-pays, deductibles, and coinsurance requirements, which
ones apply?
2. Do you have the freedom to choose your own health-care
providers?
3. Does the plan you’re considering cover the health services
you need?
4. Does the plan you’re considering work with the health-care
providers you're currently using?
5. Does the plan you’re considering offer family, and
individual, coverage?
6. Does the plan you’re considering cover pre-existing
conditions? If so, is there a waiting period? FYI — The average
waiting period can be three months to one year.
7. Does the insurance company you’re considering have a good
reputation and a positive rating from a major ratings
organization? For more information, contact your state's
department of insurance.
If you’re interested in premium individual health insurance
preferred provider plan at affordable rates, created specifically
for young, healthy individuals, you should take a look at
Precedent. Visit us at our website, http://www.precedent.com, for
more information. We offer a unique and innovative suite of
individual health insurance solutions, including highly
competitive HSA-eligible plans, and an unparalleled “real time”
application and acceptance experience.
