With the rising cost of hospital fees, laboratories and doctors’ fees it is now expensive and complicated. This is where health insurance could benefit us all. Yes, health insurance may cost a lot but having no health insurance at all cost more. Medical bills incurred from an accident could burn a hole in your savings. Health insurance could help you pay for the cost of a regular medical checkup, surgeries, contact lenses and glasses and even emergency treatments. There are two basic kinds of health insurance plan, the indemnity plan and the managed care plan. Indemnity plan is also called the fee for service plan. As long as the medical service is included in the health contract. This kind of plan covers only illnesses and accidents but preventive care like flu shots and birth control are not included. Managed Care Health insurance differs from the indemnity plan in a lot of ways. First, choice of doctors, hospitals, laboratories and other medical service provider is limited to only those who have contracts with the HMO -Health Maintenance Organization–.Medical services is received only if authorized by the plan. If you insist on engaging on non authorized medical service provider then the cost of service or care provided will not be paid by the company. Preventive care and mental health treatment are covered by the plan.

Due to the rising demands for better and wider health insurance coverage, the health insurance is offering hybrid plans. Wherein, they combine the benefits of HMOs and indemnity coverage. Managed Care plan also allows open access theory, where one can see a network medical specialist without any referrals from HMO.

You need to decide carefully in choosing the right health insurance plan for you and your family needs.