What kinds of health insurance are there?
There are essentially three kinds of heath insurance -- Fee-for-Service, Managed Care, and Consumer Driven Health Care (CDHC). Although these plans differ, they all cover an array of medical, surgical and hospital expenses. Most cover prescription drugs as well.
These plans generally assume that the medical professional will be paid a fee for each service provided to the patient. Patients are seen by a doctor of their choice and the claim is filed by either the medical provider or the patient.
By far the most popular -- more than half of all Americans with health insurance have some kind of managed-care plan. Various plans work differently and can include: health maintenance organizations (HMOs), preferred provider organizations (PPOs) and point-of-service (POS) plans. These plans provide comprehensive health services to their members and offer financial incentives to patients who use the providers in the plan.
Consumer-driven health plans (CDHP), primarily introduced in the last decade, strive to combine health coverage with increased consumerism. The three most popular types of CDHP plans are: HSA, or Health Savings Account -- this must be set up inconjunction with a High Deductible Health Plan (HDHP); HRA, or Health Reimbursement Arrangement, and FSA, or Flexible Spending Account.
How do I pick a health plan?
It is critical that you understand your health insurance choices and pick the insurance that is best for you and your family, or your company and its employees. We are here to help you find the plan that best fits your needs, at the best price. Please contact us today to help evaluate your health insurance options.