| How do you choose the best health insurance policy? | | | | Deductible Vs. Premium |
| The answer really depends on your situation in life. | | | | The deductible, or the amount you must pay out of |
| Someone who is young and single is going to have | | | | pocket before your insurance will kick in, directly |
| far different needs than someone who is older and | | | | affects the amount you pay for your premium. The |
| has a family depending on the health insurance. If you | | | | higher your deductible, the lower your premium will |
| are shopping for health insurance plans, here are | | | | be. However, finding the right balance between the |
| some of the considerations you need to make. | | | | two is not always easy. |
| HMO, PPO, or POS | | | | If you are going to be using your insurance regularly, |
| One of the first choices you may need to make is | | | | such as if someone in your home has a pre-existing |
| which structure your health insurance policy will have. | | | | medical condition or if you have children who need |
| The three most common are HMOs, PPOs, and POSs. | | | | regular checkups, you may want to pay a little more |
| An HMO, or health maintenance organization, is | | | | for your insurance premium in order to have a lower |
| probably the most affordable option. However, you | | | | deductible. However, if your insurance is to be used |
| will have many limitations with an HMO as to which | | | | for potential major health problems that you might |
| doctors you can visit, and there is often a lot of | | | | face someday, but right now you are relatively |
| paperwork you must go through in order to obtain | | | | healthy, a higher deductible in return for a lower |
| certain medical procedures or get a visit with a | | | | premium may be more beneficial. |
| specialist. In an HMO, your doctor is paid a set fee | | | | Look at Prescription Drug Coverage |
| each month for each patient under his care, | | | | Not all insurance policies have prescription drug |
| regardless of whether or not a particular patient | | | | coverage. The best health insurance policies will cover |
| receives care that month. You are required to visit | | | | your prescriptions. If the policy does not cover |
| doctors who are in the HMO. | | | | prescriptions, find out if it offers a discount plan you |
| With a point-of-service, or POS, your insurance | | | | can use towards drug expenses. |
| provider only pays when you receive services. You | | | | Look at Lifetime Maximum Benefits |
| have fewer limitations as to the doctors you can | | | | Many insurance products will put a cap on the |
| see, but you may be required to pay a portion of | | | | amount you can receive in benefits. This is called a |
| the cost each time you receive care. You will have | | | | maximum lifetime benefit. These will apply to individual |
| slightly more flexibility if you need specialist care | | | | treatments, such as cancer, mental illness, or organ |
| under a POS plan. | | | | transplants. If the insurance has very low caps, such |
| A PPO, or preferred-provider-organization, is like a | | | | as $100,000, you need to find something else. Medical |
| combination of the two previous policies. Like an | | | | expenses add up quickly, and you do not want to be |
| HMO, you are going to be better off if you choose a | | | | paying for coverage that is not going to be sufficient |
| physician that is part of your network. With a PPO, | | | | if you have a severe medical problem in the future. |
| your insurance will pay more for your care if the | | | | Choosing health insurance is never easy. Be sure that |
| provider is in the network. However, unlike an HMO, | | | | you work with a qualified agent who can answer all |
| you can choose to go to a doctor who is out of the | | | | of your questions. Pose various scenarios to see how |
| network, you will just have to pay more out of | | | | the insurance would cover situations that could occur |
| pocket to do so. You will also have a deductible and | | | | in your future. This will help you choose the best |
| co-pays with this type of insurance. | | | | health insurance for your family's needs. |