Health Insurance: Why You Need Health Insurance

Healthcare costs are going up faster than the general rise in prices for medical goods and services. That’s why it’s important for everyone to have health insurance. It helps you save money for emergencies and long-term savings, in case you or your family members have a medical crisis. Plus, it helps you handle the increasing costs of medical care.

Health Insurance

Doctors and money experts think it’s important to include health insurance in your financial plans. They suggest buying it when you’re young and reliable to stay safe and protected. Getting health insurance early has lots of benefits, like having more coverage, paying lower prices, and not needing medical tests.

What is Health Insurance

Health insurance is a deal contract between you and a company. You pay them some money every month, and in return, they agree to cover some or all of your medical bills when you need it.

This deal usually lasts for a year, and during that time, you might have to pay for certain medical expenses like doctor visits, treatments, or check-ups, depending on the terms of the agreement.

Why You Need Health Insurance

Buying health insurance is something many people put off until they realize how important it is. Before getting one, it’s important to know the advantages of having health insurance. This is because unexpected medical problems can happen at any time and can cost a lot of money if you’re not prepared.

Basically, you should get health insurance because:

  • It helps you get good medical care without worrying about expensive bills.
  • It covers serious illnesses.
  • It pays for ambulance costs in emergencies.
  • It’s cheaper for young people.
  • You can make claims without paying first, so you can focus on getting better instead of worrying about money.
  • It keeps your savings safe during medical crises.
  • You get tax benefits.
  • It keeps you and your family safe and saves you money.

Types of Health Insurance

Health insurance comes in two main types: private and public, which is run by the government. There are also some more specific types. Let’s take a closer look at each of these.

  • Private Health Insurance

The Centers for Disease Control and Prevention (CDC) says that most of the healthcare in the U.S. is paid for by private health insurance. A survey called the National Health Interview Survey found that 63.7% of people under 65 in the U.S. have this kind of insurance.

  • Public, or Government Health Insurance

In this kind of insurance, the government helps pay for healthcare if you pay a fee. Some examples in the U.S. are Medicare, Medicaid, Veterans Health Administration, and Indian Health Service.

Plan Types

Both private and public health insurance offer two kinds of policies: individual plans for one person, and family plans that cover a whole family.

  • Individual or Self Insurance Plan

An individual health insurance policy is for just one person. This means that the coverage and benefits of the policy are only for that person and nobody else. When someone buys this kind of policy, they’re getting it to take care of their own health and to get money help if they have a medical emergency.

  • Family Floater Insurance Plan

Family floater health insurance is a contract that covers you and your family for medical expenses. Instead of getting separate insurance for each family member, you can get this one policy to cover everyone.

But it’s smart to get separate insurance for elderly parents or in-laws, as it might be cheaper. And if someone in the family has a lot of medical issues, it’s better to get separate insurance for them too.

How Much Does Health Insurance Cost

The price of health insurance changes a lot depending on what it covers, the kind of plan you choose, how much you have to pay before the insurance kicks in, and how old you are when you start. You also have to pay copays and coinsurance which adds up.

To get an idea of how much different plans cost, you can look at four levels of coverage offered by the government’s Health Insurance Marketplace. These levels are called bronze, silver, gold, and platinum. Each level has different coverage and costs.

Companies That Offer This Insurance

Here are some companies that offer this Insurance:

  • AXA
  • Care Health Insurance
  • UnitedHealthcare
  • HCSC
  • Aetna
  • Kaiser Permanente
  • Redcare HMO
  • Cigna

These options are only a few, but there are many other companies that offer Health coverage. It’s really important to carefully look into and compare different policies to find the one that fits your needs the best.

Frequently Asked Questions

What is the most expensive health insurance?

Platinum health insurance is the priciest kind you can get. You shell out more money each month, but you don’t have to pay much when you go to the doctor or get services. Usually, you don’t have to worry about paying a lot upfront (called a deductible), and the costs for visits or treatments are pretty low.

Which is the least expensive type of health insurance?

If you don’t have a lot of money, Medicaid is the best option for health insurance. It gives good coverage and doesn’t cost much, or sometimes nothing at all. Whether you can get Medicaid depends on how much money your family makes, how many people are in your family, and if anyone has a disability or special family circumstances.


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