Health Plan
What is a health plan?
A health plan is an insurance policy or other arrangement through which health services are provided to individuals or the expenses of these services are paid. Health plans typically offer a detailed list of health benefits and may reduce treatment costs if care is received from a provider in the plan’s network.
There are many ways to get coverage under a health plan, including through an employer, purchasing an individual plan directly from an insurance company, and through government programs like Medicare and Medicaid.
Deductibles vary across health plans, with the least expensive plans, or those with the lowest premiums, often having the highest deductibles.
There are four common types of health plans:
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Exclusive provider organizations (EPOs)
Differences within these plans include coverage of in-network or out-of-network providers including full or partial coverage, depending on who the health services were received by.
Why are health plans important for healthcare?
Health plans make health coverage more accessible for patients since insurance providers cover a portion of the healthcare costs.
With all the different plan types and coverage options, there are versions that fit everyone’s individual needs, whether they choose to go for a higher monthly premium and thus a lower deductible or select a plan that offers lower costs for staying in network.