|
|
HEALTH INSURANCE 101
Health Insurance - PPO_HMO
When it comes to health insurance, most choose a Preferred Provider Organization (PPO) type health plan. PPOs give you the flexibility to choose from thousands of doctors and hundreds of hospitals. You pay a monthly premium and when you use your health plan, you'll pay towards a deductible and a lower percentage of the medical bill. No health plan covers 100% of everything so you will have some outlay of cash.
Your other option is to choose a Health Maintenance Organization (HMO) type health plan. Typically these plans require you to choose a primary care doctor (PCP). You must get approval from your PCP before seeing a specialist. HMO plans typically have lower or no deductibles to satisfy. Many HMOs now have limited doctor participation.
Some important thoughts:
Most PPO health plans offer higher deductibles thus lowering health insurance premiums. This should be an important part of your thought process as you can expect health insurance premiums to double every five or six years.
Remember, the health plan you choose today could be what you are stuck with in the future. If your health changes, it could be impossible to change your health plan in the future.
|
