Major
Medical Insurance
Major Medical
Health Insurance is considered to be “traditional”
medical insurance. They are also known as
“Fee-for-service” or “Indemnity” plans.
Major Medical
Plans have a deductible, which the insured pays
directly to the medical provider, before the insurance
company will start paying for services. Normally,
preventive, including check-ups and shots, are not
covered by major medical insurance.
There are,
however, some advantages to this type of plan:
- You
are not limited to a network of doctors and can
choose your own physician.
- Referrals
for specialists are not always needed
- Provide
comprehensive coverage
- Have
large lifetime limits
The
disadvantages to a major medical plan include:
- Insured
is responsible for paying the annual deductible
before health insurance benefits begin.
- Preventive
care is not normally covered.
- Claim
forms must be completed by the insured to receive
reimbursement for medical expenses.
By Eileen Bailey
See
also:
Understanding
Health Insurance
HMO (Health
Maintenance Organization)
PPO (Preferred
Provider Organization)
POS (Point of
Service Health Plan)
Health Insurance
Terminology
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