Are you aware lots of individuals who want health insurance doesn’t even know the cost implication?. There are so many wrong perceptions from different people about health insurance, and it is important to enlighten people on this type of insurance. Every individual needs health insurance because there will be situations whereby they become physically or mentally disabled due to infirmities. It is just like any other insurance, and it comes with its monthly premiums depending on the insurance firm.
What is the Meaning of Health Insurance?
For proper understanding, the meaning of this insurance needs to explain in-depth for every Tom and Harry to have proper knowledge regarding it. This insurance is insurance coverage or plan that ensures payment for different cases that are health-related such as surgical, dental, medical, and other health expenses which are incurred by the insured. This insurance ensures they help in reimbursing the insured person from expenditures that have accumulated from sickness or injury.
This comes as employment bait that is being placed by the employer to attract skillful workers to his or her firm or organization. In Europe, most employers do attach health insurance as one of the benefits their employees tend to gain when he or she is being employed. This insurance does entice employees to an employer, because of what they stand to gain. On the other hand, the employer deducts this monthly premium from the employee’s monthly wages. This is being done every month depending on when the insurance policy lapses.
How Does Health Insurance Operate and Cost?
Health insurance helps to take care of one’s medical expenses. This is made possible by an agreement between the insured and the insurance company. Another name for health insurance is health insurance coverage. One thing is certain about any insurance coverage, there’s always a yearly or monthly fee being attached to this insurance service called “premium”. This premium is being paid to the insurer (insurance company) because they are the provider of the insurance. Another thing that does influence this insurance coverage is the cost.
There is no fixed cost for any health insurance coverage. The basic thing one has to know is that it depends on the insurance company involves in it. Although, there is a range in which any health insurance coverage should fall into, and the insured person should know the reason behind going for this insurance. Insurance providers have different types of health insurance plans, and the prices of each plan vary base on their benefits. The more benefits you get, the higher the price of this plan and it is vice versa. Some of these benefits are what lures most insured persons to get insurance which offers more benefits. Here is to give you a rough idea of how much does health insurance cost, below are the average cost for various plans:
- Bronze – $6,741
- Silver – $4,604
- Gold – $1,430
- Platinum – $384
Benefits of Having Health Insurance Coverage
There are different benefits an insured person can get as a result of having health insurance coverage, and here they are:
- Cashless Medical Treatment Bills
- Insurance coverage against ailment
- Tax benefits
- Coverage of pre and post medical treatment cost
1. Cashless Medical Treatment Bills:
As an insured person, the hospital where you are going to receive medical treatment works together with the health insurance company. Therefore, there will be no payment that will be made from the part of the insured person, because at the end of it all the medical expenses are being settled between the hospital and the insurance company. The only thing you need is to make your health insurance available.
2. Insurance Coverage against Severe Ailment:
Some ailments are critical to human health. They are capable of making any employee disabled or handicapped for a long time. Some examples of these sicknesses are kidney transplants, wound ulcer, stroke, bone dislocation, and others. At critical and challenging times like this, the insurer takes care of all the bills.
3. Tax Benefits:
Tax is another thing for an insured person to put into consideration when they want to have health insurance plans. This is what a good insurance company should be able to provide within their insurance policy to an insured person. For any premiums paid, there should be some tax deductions from it. An insurance company helps out with this function.
4. Coverage of pre and post medical treatment cost:
During the entire process of all the medical treatments, the insurance company helps to pay the bills for any medication for any emergencies. Despite the high debts that will be incurred from the medical treatments, the insurer will endeavor to seek them out.
Types of Health Insurance Coverage
There are different types of insurance plans and this also determines the premium to be paid every month or yearly. The fact is obtaining any health insurance coverage can be confusing at times. The following are the various types of health insurance coverage:
1. Health Maintenance Organization HMO:
This kind of health insurance coverage allows the insured person to make use of medical professionals who are within his or her network, except in extreme cases or emergencies. For instance, a situation might arise that can’t be handle by Doctors who have been attached to the insured person. Therefore, another medical doctor who can handle the case will come in.
2. Exclusive Provider Organization:
This health insurance coverage is more or less like a managed insurance plan where the insured person can make use of clinics and medical doctors under the insurance plan he or she has paid for except an emergency happens.
3. Preferred Provider Organization:
This health insurance plan “Preferred provider organization” was renowned in 2018, because lots of people were enrolling in it. The good thing about this plan is it allows the insured person to pay less for any medical care.
4. Point of Service:
It comes with reduced rate medical bills if anyone is making use of health centers, doctors, health care service providers, and others. In this insurance plan, a referral will be demanded from the primary care doctor to seek specialist care attention.
Beyond no reasonable doubt, the primary idea of any insured person to buy health insurance coverage from an insurer is to get standard medical health treatments without going bankrupt. The insurer helps the insured person to cater to all of his or her medical debts that have been incurred.