What Kinds Of Individual And Family Insurance Plans Are Available

Understanding health insurance plans is very confusing for most consumers. We spoke to some of the industry experts and got answer to some of the most frequently asked questions.

It doesn' t matter whether you buying health insurance for the first time or just want to consider changing plans. What kinds of individual and family insurance plans are available? Put broadly, the major differences concern choice of healthcare providers, out- of- pocket costs and how bills are paid. There are three types of Individual and family health insurance plans described as either" indemnity" ,"PPO" and" managed- care" plans. Typically, PPO plans offer a broader selection of healthcare providers than managed care plans. There are several different types of health insurance plans.

Indemnity plans pay their share of the costs for covered services only after they receive a bill( which means that you may have to pay up front and then obtain reimbursement from your health insurance company) . These include HMO, and POS plans, PPO. POS plans are geographically focused plans that are a cross between a HMO and PPO. HMO's are managed care as the insurance company determines who your doctors are and what care you will receive. PPO's make use of healthcare provider networks and you are free to choose your own doctors within the network. In general, you' ll have less paperwork and lower out- of- pocket costs with a PPO health insurance plan. Healthcare providers within a network agree to perform services for PPO plan patients at pre- negotiated rates and will usually submit the claim to the insurance company for you.

You' ll have an even broader choice of healthcare providers with an indemnity plan because there is not network. When can I start making appointments with my physician? It's any doctor, anywhere, any hospital. For individual insurance coverage, it depends on how long it takes for your enrollment papers to be processed through underwriting and how long it takes to review your medical records for preexisting conditions. This delay depends on how long it takes to get records from your physician. It may take anywhere from two weeks to three months after you have submitted your enrollment paperwork plan carrier to complete underwriting. Your policy only becomes effective when underwriting is completed and the insurer has agreed to issue a policy.

My spouse is losing his/ her job and won' t have insurance. You may see your physician after the effective date. When can I add him/ her to my health insurance? But for individual insurance, you may submit you spouse's application and proceed through the enrollment process at any time. If you have group insurance, you may add you spouse during the open enrollment period. How do I change health plans?

You may change your plan at anytime if you have individual insurance. Each year during the open enrollment period, you may elect to change your health plan carrier under group insurance. Are there preexisting condition limitations if I change health plans? Any condition for which you are receiving treatment prior to your coverage change will be covered immediately by your new plan. There is no preexisting condition limitation under your new plan when you transfer plans under group insurance. What happens to my health insurance when I retire?

Retirement typically means you are older and may have a possible accumulation of preexisting conditions, which could make you uninsurable, or your preexisting conditions could be excluded. This can be a scary situation. Meaning, you suddenly have to cover the cost of expensive meds or care. If you have had coverage within 60 days, your preexisting conditions are covered immediately. Fortunately, Colorado is one of 26 states that provide a safety net through a high risk uninsurable pool. Otherwise your preexisting conditions will be covered within six months as long as you are a resident of Colorado.

What happens to my health insurance when I resign from a job? You may find further information about this type of coverage at www. covercolorado. org. You are entitled to continue the health coverage for up to 18 months under a Federal law referred to as COBRA. We will be having a child soon. Cost of coverage is borne fully by the employee. How do I add this child to my health and dental insurance coverage?

Adopted children may be added after they fill out an application and go through the enrollment process. You may notify and add new born children within 30 days of their birth date. This article was published using Article Submitter