There are various types of medical health insurance plans. A person should carefully choose the plan taking into account several factors like age, marital status, size of the family, health history, and budget.

Some of the most popular medical health insurance plans are as given here.

Indemnity Plan

This plan allows a person to seek medical treatment from any doctor or hospital. The insurance company either would bear all the medical expenses or a certain percentage of it depending on the terms and conditions of the chosen plan. This plan offers greater flexibility in choosing the doctor and is therefore good for people on the move. However, this plan is costly and the person has to pay a deductible before he starts getting the insurance benefits. In some cases, this policy is not valid for preventive health care.

Managed Care Plans

There are many different types of managed care plans.

Health Maintenance Organization

Health Maintenance Organization consists of a network of doctors and hospitals and the person insured under HMO can seek medical services only from them. Therefore, under this type of medical health insurance plan, a person has a restricted choice of selecting the doctor or hospital. For any health problem, the person first has to consult the PHP (Primary Health Physician) and only after obtaining the recommendation of PHP, can he go to the specialists. The main benefit of this type of plan is the low cost factor. Moreover, the person has to do less paperwork as compared to Indemnity plans.

Preferred Provider Organization

This is a managed healthcare insurance plan but with greater flexibility than the HMO. In this medical health insurance plan, you have a network of doctors whom you can approach for any medical needs. If due to any reason, a person seeks medical services from the doctors or hospitals outside the network of PPO, even then he is entitled to get some benefits of the insurance. For example, if you get medical treatment from a doctor under PPO, you may be reimbursed 90 percent of the expenses incurred but if you get treatment from any other doctor, you may get about 60 percent of the expenses. Moreover, unlike the HMO, a person does not need to take permission from the PHP before consulting a specialist. This plan is costlier than the HMO one.

Point Of Service

This is a type of managed health care plan that allows the insured person to get treatment from doctors that are not included in the network, but only with the referral of primary healthcare physician, also known as POS or Point of Contact. This medical health insurance plan has benefits of both HMO and PPO, like lower costs of HMO and the flexibility to choose the doctor as in PPO.