How to Choose the Right Health Insurance Plan - Video Tutorial

How to Choose the Right Health Insurance Plan? - Gaurav Bhola from Garv Financial on Vimeo

TUTORIAL TEXT

Welcome to Garv Financial.
Just a quick reminder, please remember to rate the tutorial five stars at the end.
This is Gaurav Bhola and the tutorial is about the “How to Choose the Right Health Insurance Plan.”

This tutorial covers several things, such as defining health insurance, how to choose the right health care plans, and review of health insurance company ratings.

What is Health Insurance?
Healthcare insurance is an insurance policy that provides for medical health expenses, some use the term broadly to include long-term insurance or disability insurance.

These are some important health insurance terms you should know:

• Premium - your customary payment for keeping your health insurance plan coverage

• copayment - flat fixed amount you have to pay out of pocket before the insurance company covers a health service or prescription

• coinsurance - payment made by you that is a percentage of the entire medical costs incurred. Your portion of the medical bill is in terms of percentage of costs is outlined in the health policy

• deductible - an out-of-pocket expense before the healthcare insurance plan pays the rest

• coverage limits - certain health insurance policies provide coverage up to a certain dollar amount and afterward, you pay for the remaining expenses

• exclusions – healthcare medical services not covered by your health insurance

• out-of-pocket maximums - opposite of coverage limits, your financial obligations end when the out-of-pocket maximum as outlined in your insurance policy is reached, and the health insurance company pays all extra covered costs

Choosing the Right Health Insurance Coverage
Essentially, the significant differences between healthcare insurance policies are between three entwined elements: costs, benefits, and restrictions.

Costs
The cost of health plans vary with each plan and health insurance companies. The insurance premium payments are the principal costs associated with your medical insurance coverage. Remember coinsurance costs, deductibles, in-network costs, and out-of-network services, coverage limits, exclusions, and more, all are different.

Benefits
Majority of health insurance plans cover for hospital bills or physician services, with diverse limitations. Benefits such as, psychotherapy, prescription drugs, glasses, screening, preventive care, and immunizations may or may not be covered under your plan.

Restrictions
Usually, health managed-care plans curb your choice of healthcare providers and can require pre-approval for health services. Also, some health insurance policies are accompanied by limitations in terms of payments, deductibles, and more.

Health Insurance Company Ratings
Here are some tips about choosing the best health insurance company:

• examine the company’s insurance offerings, what is covered and what isn’t

• evaluate the company’s credit rating by rating firms like A.M. Best

• ask in depth questions of the insurance agent, as needed

• get the details on a policy’s copayment, deductible, and other out of pocket costs associated with individual plans, before you buy

• shop around

These are some A.M. BEST Credit Ratings for health insurance companies:
A++, A+ is Superior
A, A- is Excellent)
B++, B+ is Good

There are more ratings, but look for health insurance companies with A++ to B+ ratings.

My name is Gaurav Bhola.
Thank you, very much for watching the tutorial on “How to Choose the Right Health Insurance Plan.” More financial tutorials are available at GarvFinancial.com.

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