Private healthcare insurance is a term that objects to the health coverage that is not granted by the federal government or by the state. This healthcare insurance is granted by any private body which can be any company or an insurance agent.
Private healthcare insurance is a great choice if you want to have any kind of medical treatment as a private patient. Today, 85% of an insurance holding world population is currently availing statutory health insurance plan and the rest are getting private healthcare insurance that holds more benefits. The most ideal private healthcare insurance programs of this day cover the market price of preventive, emergency and regular healthcare procedures.
Types of private healthcare insurance
If you don’t have an ACA health insurance (Obama care) due to ineligibility, you might be interested in exploring the market for other healthcare insurances.
Health maintenance organizations (HMO)
HMO gives you the least opportunity to choose your healthcare provider. But, to the brighter side, it has very less paperwork compared to other plans. They allow you a primary doctor, who takes care of your health and refers you to the specialist in case of an emergency. If you see a doctor out of your HMO network, you will have to pay the bill. Also, in an urgent case, if you visit out of network hospital it will be covered in-network rates, but out of network doctors can bill you.
Preferred provider organization (PPO)
With a PPO you will be provided with some freedom to choose your providers of healthcare as compared to HMOs. Also, you don’t need to have a referral to see the specialist. You will have to bear a more costly visit to the out of network doctor. The paperwork is more than HMOs.
Exclusive provider organization (EPO)
In an EPO you will be provided with good freedom to choose your healthcare providers and you don’t need a referral from the primary doctor to see the specialist. If you see an out of network doctor other than the emergency case, you will be the one who will have to pay the whole cost. Also, there will be lower premiums than PPOs even by the same insurer.
Point of service plan (POS)
With a POS, you will be provided with more freedom to choose your healthcare providers. You will also face a little paperwork if you want to see out of network doctors. There will also be a primary care doctor who will refer to the specialist. You can also see out of network doctors but you will have to pay more.
Catastrophic health plan
If you are under 30 you are eligible to buy a catastrophic health plan which provides a lower premium than the rest. You have to visit your primary doctor at least 3 times before deductible applies. Even if you haven’t met the deductible, you will get free preventive care. You can see any doctor in the network if you have an individual plan, some additional rules might be applied.
High-deductible health plan (with or without a health savings account)
HDHP is very similar to a catastrophic health plan. It has all of the above-mentioned types of health plans and primary doctors depend on the type of plan. It has a higher out of pocket cost. If you run out of it, then 100% of your healthcare will be paid by the insurer. You can also have a tax free health savings account through which you can pay your medical expenses. For this account, you must be enrolled in an HDHP.
These types have different pros and cons, but you can choose one that suits your situation perfectly.