Types of Health Insurance Plans


You do realize that there are different types of health insurance plans that are available for you. You can choose to purchase from an insurance company directly or you may also choose to buy from an insurance agent. The choice will be up to you.

A lot of the health insurance plans come with labels. These labels will let you know how extensive the insurance plan is going to be for your needs. All of the plans are different from one person to another. There are just so many factors that are being considered. Insurance companies like American Insurance would like to make sure that they are offering something that will fit you and your needs.

The Common Types of Health Insurance Plans

You need to become more familiar with the types of health insurance plans that are available. It will only take a short time for you to realize why each plan is different.

Health Maintenance Organization (HMO)

This is the type of health plan that you may want to check if you want to get some health services from different facilities. Just remember that this health plan may give some restrictions on the organizations that you can visit and the people that you are going to consult with. This is well-liked by some people because it does not involve a lot of paperwork. This will require you to choose a general practitioner who will check your health. If in case you would need to see a specialist, the general practitioner will be the one to do the referral. This way, all of the doctors you will see and the services you will get, will be covered by your chosen health plan.

Take note that if you go to a doctor who is not a part of this health plan, you will be billed.

Preferred Provider Organization (PPO)

You can ask American Insurance if they offer this type of health insurance. That is, if you believe that this is the best health insurance plan for your needs. This type of health insurance plan will give you more freedom to choose a doctor that you want. There is no need to get a referral if you would like to see a specialist. Take note that if you see doctors that are not a part of this health plan, you need to be prepared to pay higher. There will also be a lot of paperwork if you decide to go to out-of-network providers.

There are moments when your insurance company will pay a certain fee then you have to pay for the rest. This may occur when the doctor charges more than usual due to the services that you need.

Exclusive Provider Organization (EPO)

You would like to choose the doctors that you can go to when you are encountering some health issues. Like the PPO, this does not require your main doctor to give a referral before you can see a specialist. Expect that there will be no coverage if you choose to be treated by doctors who do not honor this type of health plan. The only time that you may get covered is if it is truly an emergency. Other than that, you have to pay for the full cost of the treatment yourself.

One thing that a lot of people like about this is the premium that they have to pay. This costs less than the other health plans that are discussed in this article. This also does not require a lot of paperwork.

Point-of-Service Plan (POS)

This is another insurance health plan that is well-regarded by a lot of people. It mixes some of the features mentioned in the other health plans. This will provide you with more freedom to choose the health care providers who will treat you for your current condition. If in case you decide to see out-of-network providers, you may need to do a bit of paperwork. Other than that, expect minimal paperwork.

There are times when you would need to pay for the medical services given to you by your doctor. Then, you can do some paperwork so that you can get reimbursed by American Insurance or any other insurance company of your choice.

Catastrophic Plan

This is the type of insurance plan that you can get when you are below 30 years of age. With this type of plan, you can expect to get a lower premium. You can also go to primary care three times before the deductibles will be applied. Take note that each insurance company that offers this health plan will have their own rules regarding the doctors that you can see. It is best that you keep track of your medical expenses every time you decide to go.

It will be up to you to decide which among the insurance health plans will work best for your needs.

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