There are two basic types of Catastrophic Health Insurance plans: comprehensive and supplemental plans.
The comprehensive Catastrophic Health Insurance plan provides more traditional healthcare and covers emergency healthcare services such as ambulance rides.
The supplemental Catastrophic Health Insurance plan, on the other hand, supplements other insurance plans such as psychiatric care and nursing care.
In the case of each of these plans, once the deductible is met, the insurance company becomes responsible for taking care of the plan holder's major share of medical expenses.
Pros and Cons of Catastrophic Health Insurance It pays for the biggest medical expenses that you are likely to ever encounter in your life.
However, the premium is lower compared to other traditional healthcare insurance plans as it doesn't cover smaller expenses like consultations with the doctor.
Hence, it is an ideal choice if you are comparatively healthy and are not taking any maintenance drugs and wish to save some money on insurance.
Furthermore, if have the capability of increasing your premium in the event that you are diagnosed with a chronic ailment, Catastrophic Health Insurance can be a good option for you.
However, a Insurance plan does not cover the healthcare expenses of individuals with pre-existing ailments such as AIDS, diabetes, heart disease, or multiple sclerosis.
Also Insurance does not cover preventive care.
Hence, one has to spend out of his pocket for routine care such as consultations with the doctor.
Furthermore, a Insurance plan does not apply until your deductible is met.
Therefore if you are not ready to spend thousands of dollars in terms of medical expenses, this is perhaps not the right plan for you.
Catastrophic Health Insurance is a low cost option for those individuals who want the benefits of paying low cost premiums and obtaining higher annual insurance deductibles.
It starts at $500 and goes up to $5,000.
Another advantage of a Catastrophic Insurance plan is the cap - a lifetime benefit - amounting to anywhere between $1 million and $3 million.
However, once the cap is reached, the policy gets canceled automatically.
Hence, to make it simple, a Insurance should be viewed as a sort of financial protection for times of adversity rather than as a medical insurance policy.
Furthermore, if you have a Insurance policy, you are eligible for a tax-advantaged Health Savings Account (HSA).
It is the ultimate choice for families with a secure monthly income, whose every medical expense is covered.
Therefore, before opting for Insurance coverage, one should know how much he or she is capable of paying every year and should also be prepared with that particular amount of money.
The comprehensive Catastrophic Health Insurance plan provides more traditional healthcare and covers emergency healthcare services such as ambulance rides.
The supplemental Catastrophic Health Insurance plan, on the other hand, supplements other insurance plans such as psychiatric care and nursing care.
In the case of each of these plans, once the deductible is met, the insurance company becomes responsible for taking care of the plan holder's major share of medical expenses.
Pros and Cons of Catastrophic Health Insurance It pays for the biggest medical expenses that you are likely to ever encounter in your life.
However, the premium is lower compared to other traditional healthcare insurance plans as it doesn't cover smaller expenses like consultations with the doctor.
Hence, it is an ideal choice if you are comparatively healthy and are not taking any maintenance drugs and wish to save some money on insurance.
Furthermore, if have the capability of increasing your premium in the event that you are diagnosed with a chronic ailment, Catastrophic Health Insurance can be a good option for you.
However, a Insurance plan does not cover the healthcare expenses of individuals with pre-existing ailments such as AIDS, diabetes, heart disease, or multiple sclerosis.
Also Insurance does not cover preventive care.
Hence, one has to spend out of his pocket for routine care such as consultations with the doctor.
Furthermore, a Insurance plan does not apply until your deductible is met.
Therefore if you are not ready to spend thousands of dollars in terms of medical expenses, this is perhaps not the right plan for you.
Catastrophic Health Insurance is a low cost option for those individuals who want the benefits of paying low cost premiums and obtaining higher annual insurance deductibles.
It starts at $500 and goes up to $5,000.
Another advantage of a Catastrophic Insurance plan is the cap - a lifetime benefit - amounting to anywhere between $1 million and $3 million.
However, once the cap is reached, the policy gets canceled automatically.
Hence, to make it simple, a Insurance should be viewed as a sort of financial protection for times of adversity rather than as a medical insurance policy.
Furthermore, if you have a Insurance policy, you are eligible for a tax-advantaged Health Savings Account (HSA).
It is the ultimate choice for families with a secure monthly income, whose every medical expense is covered.
Therefore, before opting for Insurance coverage, one should know how much he or she is capable of paying every year and should also be prepared with that particular amount of money.
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