Four Basic Types of Health Insurance Explained

Health insurance is a topic that seems to alwaysis generally purchased by an employer seeking to
be in the news here in the United States.provide low cost health care to their workers.
Whether it's a topic in the presidential race or theThis gives individuals and families the opportunity
latest attention getting tactics of film maker,to buy health insurance at a greatly reduced cost,
Michael Moore, there's always something newcompared to buying a private policy. If your
coming up to keep the topic in the public eye.employer offers Group coverage you should take
Unfortunately, most people don't even have aadvantage of it.
basic understanding of health insurance, theShort Term
different types of health insurance or what isShort Term health insurance is exactly that,
available to them. Here is a brief rundown of the"short term". It's designed for individuals that only
different types of health insurance available andneed a temporary policy, such as students
what they're meant for.graduating from college that no longer have a
Individual or Familystudent health plan, but haven't found a job yet,
This one is pretty obvious. Individual and familyor an individual who is between jobs and needs
plans are private policies that provide protectionshort term protection.
against illness or injury. The amounts of coverageStudent Health Insurance
provided are different and depend upon the planThis is also pretty self explanatory. Kids leaving
purchased. Premium payments are determined byhome for college are generally no longer covered
the amount of coverage provided within the plan,by their parents policy, therefore, they need their
the deductible amount, Riders, etc. Some of theseown protection. These are policies that are
plans are known as HMO's (Health Maintenancedesigned specifically with the needs of students in
Organizations) and PPO's (Preferred Providermind.
Organizations).There is of course, more to these policies than
Group Health Insurancewhat I've given here, but the idea was just to
This is similar to the example above, with theget you familiar with health insurance and some of
main difference being that Group health insurancethe different types of coverage available to you.