2 Kinds of the Health Insurance Plans

Many people still confuse about what should they do and even what they will take from the health insurance company. Before taking a kind of the health insurance products, people need to make the special plans for the employee, family and even themselves in the future. Choosing and dealing with the good plan might help you more understand about what will you do in taking the health insurance. There are 2 kinds of the health insurance plans that you might understand.

Managed Care Plans

It is a kind of the plan of the health insurance program in which there is an agreement between the health insurance company and the medical care provider. They make an agreement to provide the facilities of the medical treatment with the low prices. The medical provider will make the network plan. Then, there will be a rule which help to stipulate about how much the plan will have to pay for. There are three types of the managed care plans.

First, HMOs is the type of the health insurance plan in which the organization give directly care for the patient. The patient need to go directly to the health care doctor. People can even get any kind of the preventive care from the Health Maintenance Organizations. This plan only give the coverage to the professionals within provider network which is chosen by primary care physician. The cost of this health insurance plan is cheaper.

Second, PPO is the kind of the managed care plans in which this provider will pay all of the cost if the patient choose the doctor within the network. But, they will only pay some of the cost if the patient choose the provider which is outside the network.

Third, the last type of managed care plan is POS plan. This kind of plan offer the patients to choose freely between HMO or PPO for the treatments that are required.

Indemnity Plans

It is a kind of the health insurance plan in which the patient can choose freely about the hospital and doctors to give the medical care for them. Then, they do not need to choose the professional which is within the network. They can choose freely and then the patient, or hospital or doctor will make a claim to get the reimbursement from the health insurance company.

People will get the reimbursement based on the summary which is given. There will be a list and   kinds of the medical care and treatment mentioned on that summary. Sometimes, the insurance company will not pay all the cost for the indemnity plans. They only pay for around 80 percent. then, the insured will pay for 20 percent of the charges.

This kind of the health insurance plan has the lifetime limit for the insured. They only over around $2 million for the coverage cost. That amount of coverage is the total amount for the people life time. So, this health insurance plans have had the big plan for the people’s life in the future.