How to Compare Health Insurance Carriers

Health insurance carriers offer health care plans designed to provide participants with access to medical services at lowered costs. Finding the right health insurance plan for an individual or a family often requires careful research. Part of any investigation should include comparing health insurance carriers. Each health insurance provider offers different health insurance plans with different costs and benefits.

Instructions

• 1

  Investigate the type of coverage offered. Many health insurance carriers offer plans that cover all illnesses -- patients may elect to see a doctor whether they have a bad cold or a serious illness such as cancer. Plans that offer comprehensive coverage are often the most expensive. A catastrophic health care plan only offers health care in the event of a very serious illness such as a stroke. More minor problems are not covered. A mini-med plan is a health care plan that offers a limited amount of coverage for both minor and major health problems.

• 2

  Research the form of health care coverage being offered. Most health care plans are known as managed care plans. Managed care plans may be divided into two kinds of basic plans: HMO and PPO. An HMO is a Health Maintenance Organization. HMOs require participants to choose a specific physician to act as their primary doctor. The primary care doctor then decides what other additional services the patient needs. A PPO, or Preferred Provider Organization, is a form of health care in which preference is given to specific doctors who are in the network. If you use a PPO, you do not need to choose a primary care doctor. Instead you choose doctors from a list of those who accept the medical plan. You may see other doctors not on the list at additional cost.

• 3

  Find out the annual premium required. Health insurance carriers allow participants to pay for health care weekly, monthly or through an annual premium. Exactly when each bill is due should be made clear in writing before you sign up. The exact amount of the premium required should also be in writing.

• 4

  Investigate additional costs associated with the health care plan. Most health care plans require a co-pay to see a doctor. A co-pay is a specific sum of money that you pay when you see a doctor. Co-pays may also be charged for medical tests, prescription drugs and hospital stays. A deductible is a known amount that must be paid before you get reimbursed for any medical expenses. A deductible is usually charged on a yearly basis. When you paid out that amount for the year, the insurer then covers all services. The deductible starts up again in the new year. All additional costs should be in writing when you sign up for a health care plan.

• 5

  Research any additional services that are covered under the plan. Additional services include maternity services, mental health treatment and reimbursement for glasses or contact lenses. All health insurance carriers should have information about additional benefits offered and any additional costs associated with services that are not covered.