Understanding the Differences Between the 4 Main Healthcare Plans

The higher plans will usually give you more coverage for your medical needs. This applies to after your deductible and any premiums and out of pocket maximums have been met.

Choosing a higher level plan will give you a lower deductible along with a lower copayment and coinsurance. For example a typical bronze plan will cover about 60% of your expenses. The silver plan covers around 70% with a gold plan covering 80% and a platinum 90%.

How to Select the Right Plan

To select the right plan you will need to look at your needs and those of your dependants. Some of the healthcare plans will have low deductibles attached to them. But what this means is that you will have a higher coinsurance and copayment to meet. Or you may wish to have a higher deductible which in turn will lower your other medical costs.

One way to select the right plan is to see how often you require medical care. If you constantly visit the doctor you best choice could be a gold or platinum plan. As this option will cover 80 to 90 percent of your medical costs. If you and your family are in good health then a bronze or silver plan may be your best solution.

When shopping for healthcare insurance also be advised that policies can be different depending upon which state you live in. There are however 4 main categories you should be aware of.

  1. Health maintenance organizations (HMOs)
  2. Preferred Provider organizations (PPOs)
  3. Point of service (POS)
  4. High deductible health plan with health savings accounts (HSAs)

These categories can offer restrictions of who you can choose to be your healthcare provider, another important issue. If you select a health maintenance organization your choices are limited by the insurance company. There are pros and cons to all of the categories so you do really need to take the time to research them all before making a decision.

Preferred Provider organizations are a popular choice for many families. They can offer more preventive and primary care and can help you manage your medical expenses in a better way. The Health Savings plans do as they say and help you get a health saving account which is a good option if you can come up with extra money to put into it. This will help cover any future expenses as they occur.

Take your time when choosing your healthcare insurance plan and ask as many questions as needed. You don’t want to make an expensive and costly mistake by not getting enough coverage.