Health insurance is primarily meant to protect your health and well-being through its coverage and preventive care services. It also protects you from having to pay for expensive health care services when you need them.
For most people, you have to choose the health insurance plan based on the services it covers and the cost of it. Most of the plans include a premium charge to the health insurance company. It is usually a fixed monthly charge, which can also be paid each time you access medical care from a hospital, a doctor, or have a prescription filled. Such payments are commonly referred to as cost sharing. However, the amount you pay and when you pay will depend on a number of factors, depending on your health plan.
With the new health insurance law, a number of changes are taking place in the health care insurance industry, although this model still exists. Some of these changes include:
- It is a requirement to have health insurance.
- The health insurance plans given to people that buy health insurance on their own as well as those who get it from an employer with 50 or below employees are required to include 10 core benefits, and these must be essential health benefits.
- The Heath Insurance Marketplace will be a new way to purchase health insurance.
- Many working families and single people may get assistance from the government with the aim to help them pay the costs of their health care coverage. Such persons include those that the government doesn’t help currently.
- The rates for small group plans of 50 or less employees and individual plans will be based on their age, their location of residence, if the smoke, as well as the health care plan they select.
- Medicaid or the Medical Assistance programs in many states are expanding to offer health care plans to more uninsured persons.
The health insurance law has four basic coverage tiers, which are based on the covered costs. The metallic tiers – Platinum, Gold, Silver, and Bronze – make it easy to compare the different insurance plans. All of the will cover for core health benefits including prescription drugs, visits to the doctor, hospital stays, and x-rays, but they differ in terms of what you pay whenever you need such services.
The government is committed to help as many people as it can to get a health insurance plan, and making them as affordable as possible. It offer subsidies and tax credits based on how much money you make per year and how many people are in your family. Those who qualify can get free insurance through Medicaid, pay reduced monthly premiums, and even get a break on the cost-sharing amount incurred each time you access health care.
People who don’t have a health plan may be charged penalties whenever the annual income tax returns are filed with the IRS. The penalties increase over the years. Keep in mind that the penalties are applied per person, but you may be exempted if you have certain religious beliefs, you are facing serious financial problems, or meet some other criteria.