California Health Insurance
Residents of sunny California will find there’s definitely no shortage of health care plans to choose from no matter what age they are or health condition they’re in. This is because there are numerous private insurers to purchase plans from as well as several public programs for those who are denied insurance or find it difficult to pay for. For people who have been denied a plan from a private insurance firm, there is also a high-risk insurance pool available.
Many people choose to go with a traditional California health insurance plan which means they pay premiums, co-payments, and coinsurance. The premium is simply the cost of the health plan and it’s typically paid in monthly installments. The co-payment comes into effect each time you visit the doctor’s office or use a certain type of health service, such as purchasing prescription drugs or visiting an emergency room.
A co-payment is a flat fee whereas the coinsurance represents a percentage of the medical bill which you’re required to pay. You’re responsible for your percentage of the health care and the insurance company looks after the remainder of the bill. However, you may only have to pay coinsurance on specific procedures and services such as hospital stays and medical tests. Be aware that you may have to pay both the coinsurance and the co-payment for certain procedures, but the coinsurance doesn’t kick in until you have reached your annual deductible.
Many traditional California health insurance plans come with a maximum limit for out-of pocket-expenses. This is an annual dollar amount and once you’ve paid it you’ll no longer have to pay any coinsurance. However, you will still be asked to pay co-payments and you need to pay coinsurance on the fees that the insurance company has contracted to pay for services with the doctor and hospital.
This is why it’s quite important to know how much specific health care procedures and services cost. For instance, if you need to stay overnight in a hospital after surgery you are responsible for paying the co-payment for the hospital stay and pay any remaining costs to reach your deductible if it hasn’t yet been met. In addition, you will need to pay your share of the coinsurance on remainder of the bill.
If it all sounds pretty complicated don’t feel bad since many people have a hard time coming to grips on how health insurance works. It appears to many that they are covering the majority of the costs while the insurance company doesn’t really pull its weight. The best way to understand the specifics of California health insurance plans is to get in touch with a licensed health insurance agent or broker and have them explain, free of charge, how each health plan works and what the costs are.
They’ll also be able to let you know exactly where your money’s going and what the insurer is providing in way of coverage. The agent or broker can help you get the most for your money by comparing the rates of health insurance plans from several of the state’s leading providers. This enables you to find the most affordable rates on the market.