Individual Health Insurance

Never has it been more critical to be insured. With health care costs constantly rising and obesity and other illnesses on the incline, individual health insurance is key to keeping you and your family healthy and on budget. Individual health insurance is fast becoming the coverage of choice since you can lock in a good rate and it is portable, meaning that it isn't contingent upon your being a part of a group like group health insurance.

There are many different types of individual health insurance to choose from and it can get pretty confusing when you are trying to understand all your options. Following are a few of the most popular policies you can choose from.

Types of Individual Health Insurance

Major Medical: A major medical insurance policy is exactly what the name states- a policy that covers only major medical expenses. This type of policy does not cover routine or preventative care and will only pay for certain major medical procedures. Generally, you will get benefits for hospital stays and surgeries. Since the policy limits what expenses it pays, you'll generally have a less expensive premium than you would with traditional individual insurance.

Preferred Provider Organization: Often called a PPO, preferred provider organizations are health insurance policies that allow a little flexibility in terms of the doctors you visit for care. When you visit an in-network doctor, you get the full coverage of your policy. When you visit and out-of-network doctor, your policy will only pay part of your premium.

Health Maintenance Organizations: Referred to as HMO's, health maintenance organizations are more restrictive than PPO's. They pay no benefit when you visit a doctor outside the network.

High Deductible Health Insurance: With high deductible health insurance, you will have a lower monthly premium and higher out-of-pocket costs. You will be expected to pay out of pocket for all of your expenses until you reach the deductible limit. At that point, your insurance benefits kick in.

Getting Individual Health Insurance

There are many ways for you to get an individual health insurance policy.

1. Contact a local agent. Health insurance agents will have a wide network of companies they write business for. This means you have a resource that can find the perfect health insurance policy for you.

2. Shop online. There are many online resources to help you decide what type of insurance is right for your needs and budget. You can comparison shop and get more information on the benefits of each policy when shopping online.

3. Call an insurance company. Many insurance companies can set you up with a policy if you just call them. They will send out the application for coverage to you and you can complete it and send it back to them for underwriting.

4. Attend a local health fair. Many hospitals, churches and health organizations have annual health fairs. These fairs have free cholesterol and blood pressure screenings and also feature many vendor booths that insurance companies rent out. This can be a great opportunity to learn about their policies and apply for coverage.

5. Contact AARP, AAA and any other groups you are a part of. Many large groups like AARP offer incentivized discount insurance plans that you can't get if you aren't a member.