Modern health insurance companies nowadays offer diversified plans to cater to all your special needs, even for unexpected or emergency medical situations: if you are looking for a health insurance policy that allows you to pay for medical care only when you are in need of such care, catastrophic health insurance plans can be just the right solution for you.
However, these plans have you covered only if you have no previously existing medical condition and you are looking for insurance for unexpected major medical situations – if you do have a medical track record that makes certain type of insurance policies out of reach, a guaranteed acceptance health insurance plan can be the option you might want to consider. In what follows, we will describe what these catastrophic insurance options are all about in order to make it easier for you to choose the plan that best suits your lifestyle and medical needs.
How Do Catastrophic Health Insurance Policies Work?
This type of insurance provides you coverage for medication costs or hospital bills, should an unexpected medical problem emerge. Also called high deductible health insurance policies, these plans involve more affordable premiums, but somewhat higher deductibles than other plans. This means that the relatively low monthly fee you pay for purchasing the insurance is traded for a relatively high amount that you will have to pay from your pocket before the insurance company starts to pay for your medical expenses, and, with most plans, the premiums are not counted in the deductible amount.
If you decide to go for one of these high deductible health insurance policies, you will have to pay for all the expenses related to your medical care up to the amount of the annual deductible. When you expenses exceed the sum of the deductible, the insurance company starts paying for your expenses. Most catastrophic health insurance plans work on a co-insurance or co-payment basis, which means that the costs of medical care after having met the sum of the annual deductible are shared between the insured and the insurer, with the insurer paying a higher percentage of the costs than the insured.
For example, if your insurance policy stipulates an 80/20 coinsurance percentage, it means that, after paying your out-of-pocket share, you will have to pay only 20% of your complete medical costs, while your insurer will pay 80%. Regular medical check-ups or visits to your doctor are not included into these policies, which also means that you will have to finance preventive medical care yourself.
Who Are These Plans Recommended To?
This type of plans are also called major medical health insurance plans, as they are mainly used to cover for medical emergency costs, so they are best recommended for people who are not currently suffering of any chronic illness, but would like to be covered just in case. Consequently, these catastrophic health insurance policies are best suited for healthy people who have no medical track record of major illnesses, who do not take prescription medication on a regular basis and who do not need to visit their doctor very often. The plans are also great for those who need health insurance for less and who do not need more than emergency coverage.
In case you do not qualify for major medical health insurance due to a pre-existing medical track record, you can still apply for guaranteed acceptance medical insurance. While catastrophic insurance policies cover the medical costs incurred by unexpected situations and have been designed for dealing with high-cost emergency medical treatments, guaranteed acceptance plans work best for people who cannot get traditional or even catastrophic insurance plans because they are suffering of specific medical conditions. These plans have been designed to cover medical expenses up to a certain benefit amount specified in the policy.
These plans are available for anybody, regardless of their health situation, providing a great alternative for those who cannot afford a high deductible insurance or do not qualify for more traditional policies, but the sums exceeding this benefit limits are payable by the insured. With most guaranteed acceptance plans, the insured person is allowed to choose any health care provider, and the plan will cover all the medical treatment costs, including prescriptions and regular visits to the doctor, surgical treatment, hospital and ICU treatment, even accidents.
How to Apply for Medical Insurance
Applying for medical insurance may be a complex process that involves extensive research and careful decision making. The insurance industry is huge and highly competitive, with a lot of insurance companies offering their products, so you must take your time and evaluate your needs down to the smallest detail before signing any policy. The best way to start your research is by familiarizing yourself with the basic regulations applicable in the area – you must know that each state has different insurance laws, and some states guarantee this type of insurance coverage, others don’t.
The next step in your research can be checking the websites of several insurance companies and comparing their products. Many websites offer free quotations and you can submit your request simply by entering the details of the plan you are looking for. It is generally recommended to check the offers of several insurance providers and to collect several catastrophic health insurance quotes before making a decision. If you still feel insecure making a decision based on your own research, you can decide to apply for the services of an insurance broker working in your area. Consulting one or more brokers will not cost you anything and these insurance experts will surely be able to explain to you the pros and cons of the plans you have in mind, along with the applicable, state-specific legal regulations. They will also know the major insurance providers in your area – maybe they can even provide catastrophic health insurance quotes that are more favorable for you than the ones you came across.
The next step in applying for medical insurance is signing the actual policy. If you have chosen an insurer that has a web-based system in place, you can sign your policy online, or you can sign the policy with your agent – either way, the process of filling out the forms and signing the papers does not take longer than a few minutes.
Get Your Health Insurance Now!
With some research, you can easily choose the medical insurance that best meets your requirements. Start checking the offers of insurance companies or talk to your broker about your requirements regarding health insurance now! The sooner you find the best policy, the sooner you can sit back and relax, knowing you are covered for unexpected medical events.