Insurance for People With Health Problems

Having undefined health problems or a pre-existing condition can make it all but impossible to find health insurance. Private insurers, state governments and the federal government have stepped in to create ways for these individuals to still find health care when it would not otherwise be available. This coverage allows people to live longer lives with improved quality of life.

High Risk Insurance Pools

• High-risk insurance pools are created in cooperation with state governments as a means of providing health coverage alternatives for the "un-insurable." A high-risk insurance pool acts as a major medical plan with deductible options on par with regular health insurance. The only difference arises when those participating in the plan carry a high risk for illness or injury because of a pre-existing condition. According to the National Association of Health Underwriters, in order to qualify for high-risk insurance consumers must not qualify for health insurance through an employer or other group agency. Consumers may apply for high-risk insurance pools directly through the state government or with a private insurance agency.

Pre-Existing Condition Insurance Plan

• The pre-existing insurance plan program arose as part of the 2010 Patient Protection and Affordable Care Act, and received more than $5 billion in federal funds. Premiums for those ruled eligible for the pre-existing condition insurance plan are subsidized to make coverage more affordable. Consumers must go at least six months without insurance and have medical problems that have yet to be diagnosed successfully. While the state government or private agencies may run other high risk pools, the pre-existing condition insurance plan is managed directly through each state's government.

The Cost of High-Risk Insurance

• Those participating in high-risk insurance pools can expect to pay higher premiums than normally insured Americans. According to the NAHU, consumers can expect to pay premiums at 100 to 125 percent of the basic market rate for health insurance. Most states cap the premiums health insurance companies may charge. Some states also require insurance agencies to submit proposals for all proposed premium increases and require them to provide reasons why the increases are necessary before they go into effect.