What are the “types of health insurance”?

What are the “types of health insurance”?

Question by Freakgirl: What are the “types of health insurance”?
I was going call around for health insurance & a girl asked me what kind I wanted. I had NO IDEA how to answer that. ps, I’m 40, non smoker, live in Illinois, healthy.

Best answer:

Answer by Jen
They could be referring to one of the following:
Some plans cover just catastrophic events where you’d be in the hospital, others also cover things such as basic doctor’s visits, check ups, etc.

Health plans are also broken down into HMO’s (health maintenance orgs), PPO’s (preferred provider orgs), POS’s (point of service plans) and a few others.

Try calling BCBS of IL and see what kinds of plans they can offer you – they should give you a variety of plans to choose from and they should also explain the differences between them. After that, try other insurance companies to shop around and compare rates.

Know better? Leave your own answer in the comments!

6 Replies to “What are the “types of health insurance”?”

  1. There are 2 basic types:

    1.Reimbursement for hospital and doctor expense, and
    2. Reimbursement for loss of income due to sickness or accident.

    Most people are thinking of #1 when seeking ‘health’ insurance. There many ways of dealing with the question and the subject is too long to answer here.

  2. As Jen mentioned there are many types. There are also variations of each type. If you contact an independent broker they can explain the different types and variations and also give you quotes from Blue Cross and all the other major companies at one place. They don’t charge you any extra for the service; the policies and premiums are the same if you use an agent or if you go directly to the company. One advantage of using an agent is a local person you can sit down with and ask questions.

  3. HMO= where you pick the site and can see any Dr in the building, you also need a referral to see any other kind of specialist, that you insurance has to approve before you see them… HmO’s are a big pain in the ass.
    PPO where you pick the DR and you can see them where ever the travel to. with PPO you usually have a deductible… where you have to pay like 500 before you insurance will kick in at 100%, buy your monthly payments are lower

  4. Check out the “The Basics of Health Insurance quotes/policies” link at this website: http://www.healthinsurancewiz.com

    Also, you might consider a Heath Savings Account (HSA). An HSA allows you to save money BEFORE Social Security and income taxes are taken out. Your pre-tax dollars are automatically worth 10-40% more than after-tax dollars. You then use those dollars to pay health insurance premiums and pay your deductible.

    With an HSA, you are required to enroll in a “qualified” High Deductible Health Plan (HDHP). This is health insurance with high deductible amounts, so the monthly premiums are lower than with traditional health insurance. The deductibles aren’t that high. Under federal law, the minimum deductible in a HDHP plan is $ 2,200 for a family. The advantage, however, is that you don’t pay with after-tax dollars, with up to 40% of your income already taken out for taxes. You may have to pay $ 2,200 a year in doctor bills, medications, and other medical costs, but without the tax-free HSA, you may have had only $ 1,650 of those dollars after taxes anyway.

    The beauty of the HSA is that if you do not use the money in the account, it is yours to keep. It rolls over from year to year. If the savings are unspent by the time you retire, you can withdraw them, tax-free, for any purpose. While the account is active, the money can be invested and the earnings are tax-free, as with an IRA account. You can also use your HSA account to pay for long-term care insurance, in case you are ever in need of round-the-clock care.

  5. Ok, I can completely relate to your situation. I was a server and had no type of insurance. I was diagnosed with chronic tonsilitis. I went to the doctor maybe once a month and needed antibiotics all the time. Which got expensive. The state would not help me so I was on my own. I found this company that is not insurance but a discount program. So they accept all pre exsisting conditions. You can do the dental plus program which includes

    BEST PART IS THAT IT COVERS YOUR WHOLE HOUSEHOLD! Anyone that lives in the same house as you.
    It’s only $ 19.95 per month.

    The vision has more than 12,000 optical providers nationwide including most national chains such as LensCrafters, Pearle Vision, Sears and JC Penney.
    Save 20% to 60% on all frames, lenses, tints, scratch-resistant coatings and ultra-violet protection.

    The prescription plan saves you up to 50% on most generic prescription drugs and up to 25% on most brand-name prescription drugs. It’s acceped at almost 50,000 retail pharmacy locations across the country, including most national chain pharmacies, such as CVS, Wal-mart, Target and Walgreens.

    If you want more info on it you can go to

    I hope this helps!

  6. Well, the girl should be explaining that! There’s a “low deductible” HMO or PPO style policy, that has the highest monthly cost. Then there’s a “major medical” policy, which has a very high deductible, meant for catastrophic coverage, not maintenance stuff, then there are short term policies.

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