Insurance
Health Insurance
By Habibulla Antule
Nov 14, 2008 - 7:14:07 AM

 

This insurance policy is very popular all over in the world. Health insurance is very essential due to increasing cost of medical care and treatment, its reduce the risk of financial problem in the time of critical illness and hospitalization.

This is legal agreement of customer and company agree to share the risk. Policy holder pays monthly regular amount for health plan to purchase the policy. This policy covers hospital charges, surgery charges,medicine charges and all other related expenses during the period of policy holders illness.

There are basically two different types of health insurance.

1)Fee for Service:

Under this type of health insurance you have complete choice to choose hospitals,doctors and other health care facility. But there are certain limits against this policy where how often customer visits their private health care.

Long time ago, there were problem with senior citizens where customer would constantly visit to the doctors where it was necessary. Under this policy rule, they were not required to pay for any other private medical charges because everything was paid under this policy.

Now people are buying this insurance plan under the fee for service policy which helps to getting the fees for every visits.

There are two plans under this policy: basic health plan and major health plan.

Basic health plan: It pays for the cost of hospital room, hospital care and other hospital services.

Major health plan: It pays for the cost of surgery, doctors visit and high cost of pathology.

Some plans are offered combine both basic and major into one single plan. This plan is known as comprehensive plan.

2)Managed care health insurance plan:

This is the first insurance policy in the world, in 1929.This service is very popular in the united states. Most of 60%people are opted by this policy.

This is the simplest way for policy holder to help control cost of medical expenses. There are different types of managed care health insurance policies working differently and providing comprehensive service to the customers and offers financial incentives to insured patient.

Now womens are buying health insurance plans and they pay more than men of the same age to protecting identical coverage. Basically womens costs are more than men because they use more health care during maternity period.