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Health Insurance
Basics of an Individual Health Insurance Policy
An individual health insurance policy is what most people who are unable to opt for a job-based coverage take up. This may be due to reasons such as their employer not offering one or because they are self-employed.
Generally what you can expect from an individual health insurance policy is different from state-to-state. However, there are certain general rules that will apply. Here is a look at what these might be:
- Guaranteed Issue: This means that an application cannot be turned down based on the applicant’s health status.
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Guaranteed Renewability: The health insurance policy can be renewed and if you fall sick at the time of renewal, the insurance company cannot cancel the policy renewal.
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Portability: You should b e able to continue coverage when you move from one state to another. However, you should also be prepared for a situation wherein you receive no credit for prior coverage and you have to wait until the pre-existing condition exclusion period ends.
You have many plan options for an individual health insurance policy. Here is a look into what these might be:
- You can take up a Health Maintenance Organization (HMO) Plan.
- The Preferred Provider Organization (PPO) plans cater to the needs for individual health insurance coverage.
- High Deductible Health Insurance offers modest insurance premium rates and is most often preferred.
- Health Savings Accounts Qualified High Deductible Plan (HAS) is a good option too.
One aspect to understand about getting an Individual health insurance policy is that it is very different from a job-based coverage because it is governed by a different set of laws and regulations. You have be very aware of the laws applicable to individual health insurance before you apply and most importantly take the policy from a reputable insurance company so that you can make a claim when the need arises.
If you want to find out the health insurance laws applicable in your state, check out Healthinsuranceinfo.net. This site offer comprehensive details on health insurance related topics applicable in each state. You can read about the rights and protections applicable to you by your state law.
If you were to compare the coverage you get from an individual health insurance policy with a group health insurance policy, you may find more benefits available with the group insurance policy that your individual policy. However, do not neglect to take it up on account of limited benefits and higher premium rates. Having health insurance is far better than having none, particularly since medical costs are so huge these days (and increasing).
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