US Medical Insurance, USA Medical Insurance, US Health coverage, US Health Insurance, Medical Insurance USA, Health Insurance US

By: EconomyWatch   Date: 26 May 2010

About The Author

EconomyWatch

The core Content Team our economy, industry, investing and personal finance reference articles.

EconomyWatch, Content Team

 

  • Dot Div
  •      

US medical insurance provides financial cover against sickness and disability to the policyholder. The US government spends huge amounts on public medical insurance. Several state-funded public health programs are administered to provide healthcare facilities to those who cannot afford to buy a private policy. However, other people rely highly on private insurers for US medical insurance.

US Medical Insurance: Public Healthcare

Medicaid is a joint federal and state funded program, regulated by the state administration. It covers low income families and children. Medicare is a social healthcare program exclusively for senior citizens and disabled people. The State Children’s Health Insurance Program serves those families that are above the low income levels specified under the Medicaid policy but cannot afford private health care services. Defense servicemen and their families are covered under a separate state-funded health care program called TRICARE.

US Medical Insurance: Private Healthcare

Private USA medical insurance can be purchased on a group basis or as an individual health cover. As per data the provided by the National Coalition on Health Care, almost 60 percent of Americans have employer funded group health policies, while another nine percent buy individual coverage. Employer funded policies are the most affordable private US health insurance policies. The Consolidated Omnibus Budget Reconciliation Act (COBRA) scheme enables individuals to extend their group coverage even after termination of the job.

Types of US Medical Insurance

In the United States, healthcare facilities began with the Blue Cross and Blue Shield programs. These basically include a group of physicians and hospitals that render affordable medical services. With the success of these plans, private companies began to offer US medical insurance.

There are four major healthcare schemes in the private domain:

  • Under indemnity insurance, an individual pays the fees for the doctors during the visit. The insurance company reimburses the medical bill based on set criteria.
  • A Health Maintenance Organization (HMO) plan allocates a primary physician to every individual. The primary doctor refers a patient for specialist services if required.
  • A Preferred Provider Organization (PPO) plan has a network of doctors and physicians covered under the policy. However, PPO enables the insured individual to visit doctors outside the network as well.
  • Under Point of Service plan, the individual chooses a physician for primary medical services. The primary doctor can refer the patient to specialists in or out of the network for extensive medical services.

    • Dot Div
    •      

    Most Popular in US Insurance

    Related Links
    blog comments powered by Disqus