Hassle-Free Health Coverage: How Do You Get Insurance?
Now that you have a working knowledge of the types of plans out there, you probably want to know how to purchase this coverage.
Health insurance is generally available on an individual or group basis. Premiums tend to be lower for group coverage-and this is how most people get their health insurance.
Group coverage is typically offered through your employer, but unions, professional associations, and other organizations also offer this type of insurance.
When you receive group insurance at work, the premium usually is paid through your employer. In some cases, the employer pays some or all of this premium as an additional benefit; in others, the premium will be deducted from your pay.
Group coverage has distinct advantages. Most of the costs may be borne by your employer. Premiums are lower due to lower administration costs for large groups. Eligibility for group coverage is usually open when you start a job-you won't have to undergo a physical exam to prove you're insurable.
Know your choices. Some employers offer employees a choice of fee-for-service and managed care plans. In addition, some group plans offer dental insurance as well as medical.
Individual insurance is a main option if you are self-employed or work for a small company that doesn't offer health insurance. Mechanically, an individual policy works in the same way that a group policy does; the main difference is that the premiums are usually higher because the administrative costs are, too.
One advantage of individual insurance: You can tailor a plan to fit your needs. However, shop carefully. Coverage and costs vary widely, so be sure to evaluate the medical services covered, benefits paid, and what you must pay in deductibles and co-insurance-for each kind of coverage.
