Health insurance plans have several types and it is quite
necessary to understand each type separately to find most beneficial health
coverage in your context. Majority of people have basic knowledge of insurance
working procedure so they can easily take right step for financial onset. Some
basic insurance coverage that most of the people required are:
or disability insurance
insurance if you are at high risk area
Selection of insurance plan is not as simple as it seems.
These major insurance categories are further subcategorized into several types.
Here, you can get essential information on selection of health care coverage
Medical insurance plans can be divided into two broad
spectrums – Individual and Group health coverage.
Group health insurance is sold to a group. It could be a
family or working people of same company but most likely for company employees.
Individual health care plans are purchased by a single person for own health
security or family health safety. In this coverage individuals are free to
choose the plan separately according to terms and premium. They can also
negotiate on the terms and cost with insurance provider.
On the other hand, group health insurance plans are sold to a
company to cover health benefits of the company’s employee. Cost divided upon
the employees and it is very less that makes it an affordable choice for
everyone. These plans are available with fewer limitations. In majority of
cases, employees as well as the family of employees are entitled to get
coverage though the plan. These plans are purchased by the company for the
employees and directly from the insurer.
The employees may not be able to make amendments to the
offered plan according to own needs and requirements. Any changes can be made
by the employer whenever it is required. So, employees who are secured with
group health coverage plans also get individuals health insurance plans that
suits to their needs and requirements. Once you leave the company you can get health
coverage only according to COBRA terms. In that case, you may need to purchase
individual health plan.