Park City, Utah (PRWEB) March 12, 2013
Today, Zane Benefits, Inc. published new information on health insurance plans. Zane Benefits, which provides comprehensive and flexible alternatives to traditional employer sponsored health benefits, is the leader in defined contribution and health reimbursement arrangements.
According to Zane Benefits’ website, there are six types of health insurance plans. Knowing these plans types will prepare consumers for evaluating options available in the new Health Insurance Marketplaces coming in October 2013.
These six types of health insurance plans include:
- Preferred Provider Organization (PPO)
- Health Maintenance Organization (HMO)
- Health Savings Account (HSA)
- Point of Service (POS)
- Exclusive Provider Organization (EPO)
- Indemnity Plans
#1 Preferred Provider Organization (PPO) Health Insurance Plans
According to Zane Benefits’ website, a PPO plan is a Preferred Provider Organization. With a PPO plan, consumers are encouraged to use a network of preferred doctors and hospitals. These providers are contracted to provide service to plan members at a negotiated or discounted rate. Members generally are not required to designate a Primary Care physician but will have the choice to see any doctors or specialists within the plans network.
According to Zane Benefits’ website, consumers generally have an annual deductible that you would be required to pay before the insurance company begins covering your medical bills. You may also have a co-payment for certain services or a co-insurance where you are responsible for a percentage of the total charges of your medical expenses.
With a PPO, services rendered outside of the network may result in a higher out-of-pocket cost.
#2 Health Maintenance Organization (HMO) Health Insurance Plans
According to Zane Benefits’ website, an HMO is a Health Maintenance Organization. With an HMO plan, consumers generally have a lower out-of-pocket expense but also have less flexibility in the choice of physicians or hospitals than other plans. An HMO may require members to choose a primary care physician (PCP). With a PCP, they will take care of most of your health care needs. Generally to see a specialist, you will need to obtain a referral from your PCP.
#3 Health Savings Account (HSA) Health Insurance Plans
According to Zane Benefits’ website, an HSA is a Health Savings Account. It is not actually a health plan. An HSA is a tax-favored savings account that is used in conjunction with an HSA-compatible high deductible health plan to pay for qualifying medical expenses.
An HSA-compatible health plan may help consumers save money. Generally the monthly premium is less expensive than the monthly premium for a lower-deductible plan. The contributions to an HSA may be made pre-tax, up to certain limits set by the IRS. Unused funds in an HSA account role over year to year and accrue interest, tax free. Funds may be used for other life events as well but may incur penalties and interest to be paid.
About Zane Benefits
Zane Benefits was founded in 2006 to provide a revolutionized SaaS (Software-as-a-Service) administration platform ("ZaneHRA") for Health Reimbursement Arrangements (HRAs) and defined contribution health care. The flagship software provides a 100 percent paperless administration experience to employers and insurance professionals that want to offer better health benefits without a traditional group health insurance plan at lower costs. For more information about ZaneHRA, visit http://www.zanebenefits.com.