Health Insurance Basics Dunkirk NY

Health Insurance Basics

Health insurance provides necessary coverage that helps us stay vital and active. It protects us medically and financially in case of a catastrophic illness or injury by collecting a premium—which is then used to pay for health treatment when we need it.

Depending on the plan, it may also cover certain types of routine health care, such as doctor's visits and lab tests.

Finding the Right Insurance Plan

To find the right insurance plan, we must first understand the basics.

Health insurance comes in two forms, managed care plans and indemnity plans. What's the difference? Managed care plans, such as HMOs , are what people think of when considering health insurance. This type of health coverage provides care at a discounted price through contracted hospitals, doctors and providers. Participants must use only their plan's health providers.

Indemnity plans, also known as "fee-for-service" plans, allow policyholders to choose their own health care providers. The patient or provider is then reimbursed following treatment. Though a bit more expensive, many consider the flexibility and freedom insurance indemnity plans offer well worth the price. ...

Click here to read the full insurance article from Insureme.