Health Insurance Coverage

Most of the people who are shopping for major medical insurance are concerned about their budget more than the coverage. The premium quoted becomes the deciding factor while choosing medical insurance. It determines the type and extent of the medical insurance they want to purchase. The rates offered for the medical insurance plan depend on the current health, habits, hobbies, and lifestyle of the person looking for insurance. Relatively healthy people are offered lower rates than someone who is suffering from any illness.Indemnity and managed care medical insurance plans differ in their fundamental approach of providing coverage. Indemnity plans are preferred for the wide choice of doctors allowed which include specialists, such as cardiologists and surgeons. They also provide a comparatively larger range of approved hospitals and other health care providers. Managed care plans do not have as wide a choice as in case of indemnity plans. They usually have tie-ups with certain doctors, hospitals, and other health care providers. This allows managed health care plans to offer a range of services to its members at reduced cost.Health maintenance organizations or HMOs offer managed care medical insurance plans for lower rates as compared to insurance plans that charge a fee for the service rendered. However, it is not the right choice for people who might want to opt for specialized insurance coverage.
Preferred Provider Organizations or PPO insurance is aimed at combining the lower cost of managed care with the greater range of choice found with indemnity health insurance. A PPO health insurance plan has all the features of an HMO plan but it allows the policyholders to choose medical practitioners from a wider range.The point of service or the POS plan is a lesser-known plan that attempts to combine the properties of PPO and HMO. A POS plan requires the policyholders to choose a primary care physician to monitor their health care, who has to be chosen from within the health care network. This chosen physician becomes the point of service for the policyholders.