Apr
28
How to Find a Good Health Insurance Plan
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I have over 40 years experience in international travel and service. I saw first hand the positive impact that a good overseas health insurance plan had on a family. And I also saw the reverse – how an inadequate health insurance plan could hurt a family. So in 1997 I established my own insurance brokerage company.
People often ask me, “What insurance plan should I buy?” I realize few of us really want to take the time to research the multiple health insurance plans out there. This is especially true when trying to read the “small print” of a policy. There is an adage that goes like this: THE LARGE PRINT GIVETH AND THE SMALL PRINT TAKETH AWAY!
So, I have developed a few questions that you can ask any insurance agent or broker.
By getting answers to these simple questions, you will be well on your way to buying a good health insurance plan that fits you.
First, begin with the end in mind:
o What kinds of coverage will you need? Will you need maternity, preventive care, medical evacuation, and so on.
o You want to make sure it is really “health insurance” and not a “caring” or “sharing” plan. These plans have worked for some, but many participants have been disillusioned.
o If you are going to live overseas, will this health insurance policy cover furlough in your home country? What kinds of travel insurance will it cover, if any?
Second, rate the effectiveness of the insurance company:
o Check out the A.A. Best Rating for the company that underwrites the plan. An A+ is a good rating, but a B+ is often acceptable for health insurance companies.
o Ask what the annual prince increase is. A reasonable increase would be somewhere in the 8-15% annual increase.
o Find out which company administers the plan. These companies are called “Third Party Administrators” (TPAs). Some TPAs that have been around for a while and have grown large give poor service, while younger and smaller TPAs give good service. So don’t turn a TPA down just because it is small.
o How good is the company at paying claims? The bottom line is that insurance is only as good as the claims-paying ability of the company.
Third, get more specifics about each plan:
o Do they offer the deductible you desire? Remember, the most cost-effective deductible is generally $1,000.
o Understand the “exclusions.” Another way to ask this is, “What WON”T be covered?”
o How do they handle co-insurance? Do you pay co-insurance overseas or only in the USA?
Finally, find an insurance broker who can help you. It is best to work through a broker who represents several companies. In this way you will have the assurance that he or she will find the best plan to suit your needs.
Jeff Gulleson is the President of Good Neighbor Insurance that represents 10 international health insurance companies and provides international health and travel insurance for every country in the world. Email us or get an international health insurance quote.
Article Source: http://EzineArticles.com/?expert=Jeffery_Gulleson
Apr
28
What Is Health Insurance?
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Health insurance is a type of insurance where the insurer pays for the medical expenses of the insured for all cause that were mutually agreed upon. There are different types of insurance plans which cover medical services, prescription drugs, dental expenses, disabilities, etc. Usually, all these types of insurances are together termed as health insurance.
Health insurance plans are usually sold only once and renewed annually. Under most plans, the insurer agrees to pay for all health expenses as long as the insured renews his plan and pays the premium. Health insurance plans are usually of two types. One is the fee for service, while the other is managed care. Under Fee For Service plans, the insurer pays the medical service provider in advance for certain types of services that the insured takes. Under such as scheme, an insurer can go to any medical service provider. On the other hand under managed care the insurer has a set of particular medical service providers only from whom the insured is entitled to take medical advice.
Plans offered by medical insurance companies are lucrative and can tempt anyone to go for a policy. However, there are certain terms and conditions which should be understood fully before going for a policy, failing which, an insured can land into uncomfortable situations.
Deductibles form an important part of insurance. It is the amount which an insured must pay to the insurer to start getting the insurer’s service. Deductibles may vary from a few dollars to a few thousands of dollars, so it is necessary that the insured takes care of his ability to pay before getting insured.
Another thing that often causes misunderstandings is the co-insurance amount. Co-insurance amount is the amount which an insured has to pay to the insurer once the deductibles are reached.
Exclusions are to be specifically checked. There are a number of medical expenses which the insurer won’t be paying. This needs to be understood before claiming insurance.
Insurance definitely has a lot of intricacies involved which makes it a little bit confusing for people who are not acquainted with it. However, it is worth understanding as the time and efforts spend now on understanding health insurance may save your life some day.
Anirban Bhattacharya is an editor with the website http://www.health-medical-portal.info/ – a complete health and medical portal dedicated to health and fitness, and many other informative as well as shopping/business websites. He has written and published over 300 articles and press releases for various websites, helping the relevant readers to shop / business online with better options and oppertunities. To read more about art and entertainment please visit http://www.health-medical-portal.info.
Article Source: http://EzineArticles.com/?expert=Anirban_Bhattacharya
Apr
28
High Deductible Vs Low Deductible – How to Choose?
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Note: If you need definitions of health insurance related terms, simply click “Free PA Quotes” at the end of this article. The average consumer tends to assume that low deductible health plans (LDHP) are more benefit rich then their high deductible (HDHP) counterpart. You may be surprised to find that in most cases, both forms of health coverage are equally comprehensive. It is important to consider your individual situation to determine what is ultimately best for you. Knowing the relative strengths and weaknesses of each type of plan will put you in optimum position to maximize savings. Since becoming a licensed agent, I have worked with a large array of prospective customers who, for a lack of better words, love their health plan. That is aside from just one thing – the cost. Usually, the story goes something like this: “I love my health plan; there is no deductible, I only pay $10 to see the doctor, my labs don’t cost me anything, if I go into the emergency room it only costs me $50, and if I go into the hospital – I only pay $200. If I only have one issue, it is a bit expensive at $850 a month.” The reason why some consumers have a virtual love affair with their health plan (in spite of the cost) is they feel that their health plan is in some form, the envy of those around them. This is little more then a false perception about one plan being better then another. The reason why this perception exists is that HDHP’s tend to receive the bulk of consumer complaints. Are the complaints justified? Let’s look a little bit closer… Usually, the HDHP story goes something like this; “The other day, my son fell off the swing. We were concerned that he broke his arm and decided to take him to the emergency room. As it turns out, it was little more then a deep bruise. Unfortunately, we just got the bill in the mail and we had to fork out $250. Do you believe that, what’s the point in having insurance if I still have to pay so much money? I didn’t know a bruise could be so expensive. In another case, we might hear of a friend who has to pay $1500 dollars for an MRI – OUCH! But it gets worse. In the event that they have to use their insurance again, they still would have to pay $1000 out of pocket before reaching their annual deductible. To add insult to injury, even after they reach their high deductible, they still have to pay 20% coinsurance for who knows how long…and on and on it goes… When the proud owner of a low deductible health plan hears of such horror stories, they wipe their brow and with a sigh, write another $850 check for this month’s premium. But does the seemingly enviable low deductible policy holder have cause to feel the way they do? When you take a closer look (keeping a calculator handy) you may find that enviable friend of yours…should be envying you. While there are many variables to consider for any health policy, let’s get out a calculator out and compare a couple of policies: Policy 1 (Low Deductible Health Plan – LDHP): Monthly Premium: $850 Doctor copays: $20 Deductible: $0 Coinsurance: $0 Maximum Out of Pocket (OOP):$0 Yearly Cost (excluding copays): $10,200 Policy 2 (High Deductible Health Plan – HDHP): Monthly Premium: $450 Doctor copays (pre-deductible): $20 Deductible: $2500 Coinsurance: 20% Maximum OOP (including deductible): $5000 Yearly Cost (excluding copays) if full deductible is reached: $7900 Savings on Policy 2: $2300 (potentially more if deductible is not reached) So, which plan would you choose – does the LDHP still look like a viable option to you? While policy one’s $0 deductible looks attractive at first glance in comparison to policy two – how does it work out in the end when you account for the overall increased cost of the first policy? There is no question, from a strict dollar for dollar standpoint, policy two certainly seems to be the better choice. But let’s play devil’s advocate and switch gears again. In the above comparison we are reviewing perhaps the most important variables that determine the cost of a policy. However, they are not the be-all end-all of shopping health insurance. When you account for the tendencies of human nature, it’s possible that a HDHP (like policy two) can actually pose higher risks to the consumer. How is this, you say? For one thing, many high deductible policy holders tend to put off minor pains and ailments to avoid the out of pocket deductible costs. This potentially lends itself to some conditions becoming worse that might have been resolved if treated earlier. Also, for some consumers who are less “savings conscience” they may find that their lack of discipline puts them in a compromising situation in the event that they have to incur unexpected deductible costs. And yet, there are still other variables to consider. Whether it’s a HDHP or a LDHP, some plans may cap certain forms of treatment. This is an important consideration, and you may want to evaluate your health history to see how this might potentially affect you in the future. Also, max. OOP does not necessarily mean that this is all you will be paying once that level is reached. Most plans have copays for hospital stays and other services, even after the max OOP has been reached. With high copays, the costs can quickly add up. While some copays look attractive pre-deductible, they are just an extra expense – post-deductible. Consider speaking with a state licensed agent who will consider these variables when helping you shop for health insurance. In Pennsylvania, you can compare high and low deductible plans with no obligation simply by going to: Free PA Quotes For a glossary of terms mentioned above, click “Free PA Quotes” above, then click “Glossary” on the left margin of the opened page. My name is Sean Fitzpatrick. Thank you for reading my short biography. The information below will offer the reader two things: 1. Insider secrets that are important to all health insurance consumers; 2. My professional approach to health insurance. When I first became a licensed health agent, one of the first steps I made was to study consumer journals to get a grasp on what health insurance carriers were the most highly rated. After doing so, I was surprised to find that many of the highest rated health carriers were not being offered by other agents. Surprised by this revelation, I identified what I believe to be the three main reasons why agents do not offer these products to their clients: 1. The commissions are less; 2. The potential for yearly turnover is less because there is a greater probability that the consumer will want to stay with what they have (agents make more in the first year then subsequent years); 3. Insurance marketing organizations do not partner up with many of the highest rated health carriers because most of them will not offer agent advances on first year commissions. Armed with this knowledge, I came to a decision; I either had to find a new career or find a way to make it work. In the end, I decided to give it a go. I determined that I can be successful in this business by always keeping the customers interest first by offering the best product available to them. In order to do so, ultimately, I would have to make up in volume what I don’t make in the way of reduced commissions and advances. I may be an idealist, but with time, customer by customer, my idealism is turning into reality. Visit me at http://www.healthplanmadeeasy.com Article Source: http://EzineArticles.com/?expert=Sean_M._Fitzpatrick