You probably hear people talk about health insurance all the time. But you might feel like you don’t understand much about it. That’s OK, because, honestly, it can be a pretty confusing subject.
Like most things, though, health insurance is something you can easily learn about and master the basics. And that’s what Health Insurance 101 will help you do.
So, let’s look at a few questions together. What is health insurance, how does it work? And should you get health insurance?
What Is Health Insurance?
Basically, health insurance is a way of paying for your medical bills and health care costs. Most people can’t pay for all their health care out-of-pocket, and just put it on a debit or credit card.
Health insurance can make it easier to pay your health care bills, and help you get the care you need.
Health insurance can make it easier to pay your health care bills, and help you get the care you need.
Different Kinds of Health Insurance: Private and Government-run
There are many different kinds of health insurance plans. Some plans are run by the government. For example, you’ve probably heard of Medicare and Medicaid, which are government-run
- Medicare – health insurance for people age 65 and over, as well as some people under age 65 with a disability.
- Medicaid – health insurance for people with a low income.
There are also private health insurance plans. Many people get private health insurance from their employer, and self-employed individuals often purchase private health insurance, too. With private health insurance plans, you typically pay the health insurer a monthly premium; with government-run health insurance, there often is no monthly premium.
How Health Insurance Works?
When you have health insurance, your medical bills go first to your health insurance plan. Then, they pay for some or all of that bill according to the plan’s details.
In a way, health insurance is a lot like car insurance. If your car is in a bad accident and needs a lot of work to repair it – or maybe it needs to be replaced entirely with a new car – car insurance picks up some or all of the cost. And that’s good, because the cost of fixing or replacing your car could easily be more than you have in your bank account.
But, unlike car insurance, health insurance covers far more than just the costs from a bad accident. Health insurance often covers things like annual checkups, vaccinations, preventive health and other “routine maintenance” for your body and mind. It’s like if car insurance helped pay for oil changes and tire rotations.
Why Should I Get Health Insurance?
Broadly, there are two reasons to have health insurance:
- Health insurance supports you if you get sick.
- Health insurance helps you avoid getting sick to begin with
Health Insurance as a Safety Net
It’s important to have health insurance as a safety net. If you unexpectedly get sick or injured, health insurance is there to help cover costs that you likely can’t afford to pay on your own.
Get in touch with a Care sales rep to get more information
No matter which metal category you choose, you can save a lot of money on your monthly premium based on your income.
Your premium can be lower, based on your income
When you fill out a Marketplace insurance application, you’ll find out if you qualify for these savings. Learn how you can save on your monthly insurance bill with a premium tax credit..
