American families have choice in health insurance. Many are covered as a member of a group health insurance plan provided by their employer. If not, you can buy a health insurance plan from the marketplace of the Affordable Care Act (“Obamacare”), a short-term health insurance plan, a Christian health insurance plan or other faith-based health plan, or a fixed indemnity health insurance plan.
In this blog, we’ll look in more detail at that last option, compare it to Christian health insurance plans and other choices, and help you decide whether an Obamacare plan, a Christian health insurance plan or a fixed indemnity plan is right for you and your family.
The fixed indemnity plan
Also known as fixed benefit plans, this type of coverage pays a defined, predetermined amount for each covered medical expense. Unlike many other plans, they have no deductibles or copays. And unlike short-term plans, there’s no time limit. You can claim benefits as long as you keep up the monthly premiums.
The details vary by carrier, but in general, fixed indemnity plans cover most of the expenses you’ll encounter. By law, they must provide major medical coverage. This includes:
- primary care, women’s health care and preventive medicine
- doctor’s visits
- emergency room care
- urgent care
- hospital stays
- laboratory tests
- and more, depending on the plan and the carrier.
Fixed indemnity plans share some of the same advantages of Christian health insurance plans. First, they can be less expensive than traditional health insurance plans, such as Obamacare plans.
You can get approved quickly, usually within a week and cancel at any time.
Finall, there are no deductibles, unlike many other plans, including Obamacare and Christian health insurance.
The first disadvantage is in the name: fixed indemnity, or fixed benefits. That is, the amount they will pay for any medical procedure is set in advance, and is usually less than the actual cost of the procedure, and less than would be paid by an Obamacare or a Christian health insurance plan.
Second, fixed indemnity plans don’t cover everything. Typically, they exclude prescription drugs or maternity benefits.
They may not cover pre-existing conditions, or may not pay for meical procedures for them for the first twelve months.
Unlike Obamacare plans, coverage is not guaranteed. And because of their limitations, paying for a fixed indemnity plan may mean you still have to pay the tax penalty under the Affordable Care Act. In fact, you could think of a fixed indemnity plan as a “top-up” for your Obamacare plan or employer-paid plan. This is the major difference from Christian health insurance plans.
Who they’re for
Fixed indemnity or fixed benefit plans are best suited for younger, healthy people without a lot of health care or health insurance needs. Having a relatively high and dependable income is another factor that may direct you toward this kind of insurance.
Check the details in these plans carefully before you buy. Compare the coverage, limitations and amounts paid against Obamacare plans and Christian health insurance plans.
Fixed indemnity or Christian health insurance?
If you do not have a health insurance plan from your employer, it can be challenging to choose among Obamacare, fixed indemnity, short-term and Christian health insurance options.
Check the policy carefully. Note down what specific procedures are covered, exclusions and limitations. Look at how they treat pre-existing conditions.
Evaluate your own needs. What is the state of your health, and your family’s?
Finally, after you’ve looked at all these, look at the cost. If you’re single, young, healthy and without dependents, it may make more sense for you to get a lighter, less expensive fixed benefit plan. But if you have a family and the cost of Obamacare plans present a challenge, a Christian health insurance cost-sharing plan may be right.
For complete, open information about the right choice for your family, talk to one of our representatives about Christian health insurance in Dallas Texas.