What Does Individual Health Insurance Coverage Entail?

By Cathy Wilson Posted in Health Insurance News

Individual Health Insurance

There are several categories that health insurance fall under. Two of them are group and individual health insurance plans. Group health insurance is usually purchased through an employer who purchases it from an insurance company at a group or discounted rate. Individual health insurance is purchased by the person to be insured from the insurance company directly. The same insurance plans offered through group insurance are offered through individual insurance at a higher cost.

Cost Of Individual Health Insurance

Individual health insurance is more expensive than group health insurance because you are paying the insurance company directly without the benefit of employer contribution. Those with an individual health insurance plan also pay higher premiums, co-pays, deductibles, and have a higher rate of cost sharing. Individual health insurance premiums also vary greatly by age and general health. Because the health insurance company is assuming a greater risk by insuring someone individually, they look to age and health to decide how much to charge for insurance. A man in his twenties who is not overweight and in general good health will pay a much smaller premium than a man in his fifties who has had a history of heart disease.

Because of the increased cost, many only purchase the major medical plan which covers most surgeries and hospitalizations. Wellness visits and even sick visits would not be covered under a major medical plan.

Who Is Eligible For Individual Coverage

Anyone can purchase individual health insurance. Currently 9% of Americans have some sort of individual policy plan. Those who own their own business or work as freelancers often purchase individual health insurance. Since it can be very expensive it is not recommended for those without a steady significant income. The government is currently working on a public option insurance plan for those who can not afford individual health insurance.

Related posts:

  1. What Does Major Medical Insurance On A Health Insurance Policy Entail?
  2. Key Secrets To Buying Individual Health Insurance At The Best Rate
  3. How Can I Save On Health Insurance If I’m Self-Employed?
  4. What Does A Fee For Service Health Insurance Plan Entail?
  5. How Do I Choose The Best Tennessee Individual Health Insurance?

One Response to “What Does Individual Health Insurance Coverage Entail?”

  1. PS3 says:

    Need to subscribe to this blog, great post. Found it on yahoo.

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