Health Insurance And Mental Health Services

Are you deciding which insurance plan to choose? Do you know how much it is going to cost you with your treatment?

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What Is Health Insurance?

Health insurance is an arrangement between a policyholder and an insurance company. It aims to provide financial assistance for you to afford the costs of any medical concerns. In addition, health insurance improves access in the healthcare system to allow you and other people to seek and pay for healthcare services.

Type Of Insurance

  • Government-Sponsored Health Insurance – Medicaid and Medicare are obtained through a program that caters to a specific group of people such as active service members, children, veterans, the elderly, and low-income people.
  • Group Health Insurance – It is a commercial insurance plan supporting employer-based insurance that offers discounted coverage for mostly healthy working individuals.
  • Individual Health Insurance – It is also a commercial type of insurance covering a single person or family needs. The premium coverage of the healthcare is paid entirely by the purchaser.

The process of acquiring insurance usually starts in three basic processes. The first one is you have to pay for your medical bills, and then the insurance will pay you back after. The second is when both you and your insurance company pay some amount to cover the medical bills. The third is when the insurance pays everything.

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Premium

Premium insurance can be compared to a membership. You pay a specific amount of money monthly to be a member, and that’s your premium. With that exact amount, you get to acquire preventive care benefits for free, particularly vaccines and free screenings.

Deductible

If you haven’t noticed it yet, you usually pay most of your healthcare at the beginning of the year until each of your deductibles. A deductible is the amount of money you need to pay to the insurance company before they could share with you the costs of your financial contributions. It is like filling up a bucket. You usually pay a copayment only for covered services, and the insurance company pays the rest.

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Out-Of-Pocket Maximum

Paying for the insurance has its benefits. If you reach a certain amount, you will never have to pay for any healthcare services anymore. Note that the insurance company keeps records of your contributions, but the out-of-pocket limit doesn’t include your premiums in the bucket.

Once you finally reach your limit, the insurance company will pay everything from there for the rest of the year.

 

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