What is Private Health Insurance? Private Health insurance also called private medical insurance or health insurance plans is opposed to government insurance programs and is marketed by the private insurance industry. In literal terms, Private health insurance is known as health coverage plans made available by a private entity of a state or federal government. Brokers and Insurance companies are both in this category.
Health insurance is mostly offered by an employer or company as part of employee benefits. However, if your company does not offer health insurance under the employee benefits program, you can purchase yours from health insurance companies. This will help cover any medical cost if you are treated in a hospital as a patient.
Just so you know, there are various types of health insurance coverage that are a little bit more affordable and regulated than most regular major medical coverage. These include; critical illness plans, vision, and dental insurance, and short-term and fixed indemnity plans. These types of coverage are made available and sold by private health insurance companies for a short period of time.
How Does Purchasing Private Health Insurance Works?
50% of people get this insurance by signing up for a group health insurance plan through their employer or companies. Medicare offers healthcare coverage to the less privileged, elders, and the disabled. It is a federal health insurance program for citizens and residents who are 65 and above. While Medicaid is a public assistance healthcare program made available for low-income American citizens and residents regardless of their age.
If you are not eligible for any of these two and your company or employer does not provide the insurance plan. The best option you have left is to go for policies from the best private health insurance companies.
When do I need to buy a Private Health Insurance Plan?
There are different scenarios where you may have to purchase your own plan. Here are some of these certain scenarios;
- Unemployed
- Self Employed
- 26 of age and above
- Part time employee
- Employer who has workers
- If parents or spouse retires
- When dropped by current insurer
If you find yourself in this position or scenario and lack the right health insurance coverage, it is very important to get your own plan as soon as possible.
Type of Private Health Insurance
Just so you know, there are so many types of private medical insurance. However, I will list some for you below, check them out;
- Sign up or enroll in group plan through your employer or company.
- You can Select private plan via licensed agents
- If eligible, enroll in Catastrophic Coverage
- You can choose term coverage if you are between the plans.
Cost
Many people are afraid of going for their own health insurance by opting for employer-sponsored plans. However, some studies have shown that private insurance may be more affordable than that employer-sponsored plans.
According to reliable sources, the average monthly premium for the employer insurance plan for one-person coverage is up to $645, and at least $1,850 for family coverage. While the private health insurance plan monthly average cost for a person is $438 and for a family is $1,168.
How can I get Private Health Insurance?
The best place to look for this policy is the Major health insurance companies and health insurance Marketplace. For the best and most affordable companies, you can check and browse through the internet. The type of plans you can get will vary based on age, location, and region. For the Marketplace, you should visit HealthCare.gov and check out information on private medical insurance plans.
Make sure you compare all the plans well and choose the one that suits you the most. You will have to apply and provide the company with your medical history to know the amount you will have to pay per month.
Is private Health Insurance worth it?
Yes, private insurance is definitely worth it. Just as I have said above, an accident can occur anytime, so it is a good option to have an insurance policy that can protect us from unforeseen medical bills. Private medical insurance will cover the cost of private treatment, diagnosis and healthcare.
