What Do Fee For Service Insurance Plans Cover?

by admin on September 18, 2010

The Fee For Service health insurance plan is one of the plans that have been offered by insurance providers for many years now. This is a traditional policy that has a straightforward way of functioning. When you opt for this type of health insurance policy, you have to pay a monthly premium to your insurance company so they can cover your medical costs when it is needed.

Under this type of health insurance plan, you have the liberty of choosing any medical facility or doctor when you fall ill or meet with any mishap. However, you will have to pay up a certain amount called the deductible upfront before the insurance company comes up to offers assistance. There are also health insurance policies with minimal deductibles; however, the cost of availing such policies is very high. If you want to reduce the monthly premiums then you can consider increasing the deductibles. But remember, this is the amount you will have to pay up before the insurance company covers you financially.

One of the drawbacks in the Fee For Service health insurance plans is that there is an upper limit cap provided by the insurance company. This implies if you need more money than the upper limit prescribed, you will have to pay for it from your pocket.

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What are POS and PPO health insurance plans?

by admin on September 17, 2010

In addition to the HMOs, the POS (Point of Service) and PPO (Preferred Provider Organization) are two other health insurance plans that most people opt for. When you opt for the POS plan, the primary doctor in your network can refer you to another doctor outside the network in case of medical emergencies. Unlike in certain other insurance plans, the POS plan will provide you coverage when you avail treatment from a doctor outside the network, but referred by the doctor within the network. There are exceptions where you can directly approach a doctor not in the network prescribed by the provider, but still obtain coverage of the treatment and other medical costs.

The PPO is a blend of the HMO and the Fee for Service health insurance plans. When you opt for the PPO, you will be given a card that you will have to show your doctor when you approach them for consultation and treatment. However, unlike in the case of the HMOs, there is a co-payment associated with every visit to the doctor. You will also have to pay some amount as coinsurance or deductible in order to avail certain medical services and facilities.

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