Different Types Of Health Insurance in USA – When it comes to apply for health insurance you need to know that they are different types of USA Health insurance, so before you apply you have to know them all in other to know the exactly the one are to apply for.
On this page article we shall be discussing extensively on the issues concerning the list of different types of health insurance in USA but before then i would like to briefly introduce to you what health insurance is all about.
What is Health Insurance?
Health Insurance – When ever you think of health insurance, it simply means that you are planning for an insurance coverage that typically pays for medical, surgical, prescription drug and sometimes dental expenses incurred by the insured. This will as well mount to be in charge of financing of medical expenses by means of contributions or taxes paid into a common fund to pay for all or part of health services specified in an insurance policy or the law.
Benefits Of Health Insurance
Yes, You have have been asking if there is any benefits for anyone who apply for health insurance, Yes there is, Lets show you below here in this article what you will stand to gain once you register for USA health insurance.
1. Pharmaceutical Care
Pharmacology is essential in the practice of modern medicine. This is why health insurance plans make provision for drug prescription. Although the amount covered varies from plan to plan.
Insurance on pharmaceutical care includes drug prescription and issuing of medications when necessary.
2. Provision of Routine Care
Such as laboratory tests, physical examination, shots, and vaccines, and the likes. As mentioned earlier, depending on the level of health care offered by the insurance plan, coverage of routine visits come with certain limitations.
3. Chronic Condition Treatment
Insurance companies usually cover the bulk of the cost of treating a chronic condition. As long as it isn’t a pre-existing disease or illness. The coverage includes repeated treatment, continual testing, and exclusive intervention when necessary.
4. Emergency Medical Assistance
Health insurance covers various emergencies. They include drug overdoses, accidents, heart attack, acute illnesses, sudden injuries, and unplanned calamities.
List Of Different Types Of Health Insurance In USA
There are so many types of health insurance that one can apply to suit him but in here we shall outline among the list the most important for your health insurance, which includes the following:
1. Preferred Provider Organization (PPO)
A PPO plan is a Preferred Provider Organization group health insurance policy.
With a PPO plan, employees are encouraged to use a network of preferred doctors and hospitals. These providers are contracted to provide service to plan members at a negotiated or discounted rate. Employees generally aren’t required to designate a primary care physician, but will have the choice to see any doctors or specialists within the plans network.
Employees have an annual deductible they’ll be required to meet before the insurance company begins covering their medical bills. They may also have a copayment for certain services or a co-insurance where they’re responsible for a percentage of the total charges of their medical expenses.
With a PPO, services rendered outside of the network may result in a higher out-of-pocket cost.
A PPO may be a good option for your small business if your employees:
- Need flexibility when choosing physicians and other providers
- Want the burden of obtaining a referral to see a specialist
- Like the balance of greater provider choice versus lower premiums
2. Health Maintenance Organization (HMO) Health Insurance Plans
An HMO is a Health Maintenance Organization group health insurance policy.
With an HMO plan, employees generally have a lower out-of-pocket expense but also have less flexibility in the choice of physicians or hospitals than other plans. An HMO may require employees to choose a primary care physician (PCP). To see a specialist, employees will need to obtain a referral from their PCP.
HMOs generally provide coverage for a broader range of preventative services than other policies. Employees may or may not be required to pay a deductible before their coverage starts, and will usually have a copayment.
Most of the time, there are no claim forms to file on an HMO. The main thing you will want to keep in mind is that with most HMO plans, employees have no coverage if they go outside of their network without proper authorizations from their PCP or in cases of certain emergency situations.
An HMO may be a good option for your small business if you:
- Prefer lower premiums
- Like the trade-off of in-network services
- Desire good preventive services such as coverage for checkups and immunizations
3. Point of Service (POS) Health Insurance Plans
A POS is a Point of Service group health insurance policy.
POS plans combine features of an HMO and a PPO plan. Just like an HMO, POS plans may require employees to choose a Primary Care Physician (PCP) from the plan’s network providers. Generally, services rendered by the PCP aren’t subject to the policy’s deductible.
If employees utilize covered services that are rendered or referred by their PCP, they may receive the higher level of coverage. If they utilize services by a non-network provider, they may be subject to a deductible and lower level of coverage. They may also have to pay up-front and submit a claim for reimbursement.
A POS may be a good option for your small business if your employees:
- Need flexibility when choosing physicians and other providers
- Desire primary care physicians to coordinate care
- Like the balance of greater provider choice versus lower premiums
4. Exclusive Provider Organization (EPOs) Health Insurance Plans
An EPO is an Exclusive Provider Organization group health insurance policy.
EPO plans are similar to HMO plans because they have a network of physicians their members are required to use except in the case of emergency. Employee members will have a Primary Care Physician (PCP) who will provide referrals to in-network specialists. EPO members are responsible for small co-payments and may require a deductible.
An EPO may be a good option for your small business if you:
- Like the balance of less provider choice in exchange for lower rates
- Have employees who can find value with a smaller panel of providers
- Have employees who are comfortable shouldering higher costs for unplanned events
5. Indemnity Health Insurance Plans
Indemnity health plans are known as fee-for-service plans because of pre-determined amounts or percentages of costs paid to the member for covered services. The member may be responsible for deductibles and co-insurance amounts.
In most cases, the member will pay first out of pocket and then file a claim to be reimbursed for the covered amount.
An indemnity plan may be a good option for your business if you:
- Can accept the burden of potentially increased administration for referral and claims paperwork
- Are find with the balance of higher rates in exchange for more service control
- Have employees who need high levels of flexibility for doctors and hospitals
6. Health Savings Account (HSA) Health Insurance Plans
One alternative to traditional group health insurance is an HSA. An HSA is a Health Savings Account.
An HSA is a tax-favored savings account that is used in conjunction with an HSA-compatible high deductible health plan to pay for qualifying medical expenses. Though HSAs can be attached to group health insurance, they’re owned by employees and small businesses can contribute to them whether they offer a group policy or not.
The contributions to an HSA may be made pre-tax, up to certain limits set by the IRS. Unused funds in an HSA account roll over each year and accrue interest, tax-free. Funds may be used for other life events as well but may incur penalties and interest to be paid.
An HSA may be a good option for your small business if you:
- Can’t afford a group health insurance policy
- Want to have greater control over how much you contribute to health benefits
- Have a large number of employees who have an HSA
7. Health Reimbursement Arrangements (HRAs)
A health reimbursement arrangement is a type of health benefit that allows employers to provide health benefits without having to offer a group health insurance plan. Using an HRA, employers reimburse employees for premiums, and even out-of-pocket medical expenses.
With each HRA, employers are able to set a monthly allowance cap for employees to use. From there, employees shop for the individual health insurance policy that fits their needs best, and submit a proof of purchase for reimbursement.
There are six types of HRAs, each with their own uses and requirements. They are:
- Qualified Small Employer HRA (QSEHRA)
- Individual coverage HRA (ICHRA)
- Group coverage HRA
- Excepted benefit HRA
- Dental/Vision HRA
- Retiree HRA
Above listed in the list are the most important haelth insurance in the government of United State of America, So please there is a very important need to register, which by the help of this our article here you will be able to do well in the registration.
