Everywhere you turn these days, especially this week, you’ll more than likely hear about the Affordable Care Act, otherwise known as Obama Care. Now, if you’re younger, then chances are you’re relatively healthy and haven’t given much thought to the importance of health insurance. But in reality, this is definitely something that you need to understand and consider investing in if you don’t already have a policy or if your employer doesn’t already have you covered.
If you’re right out of school, then boy, is this the blog for you, if you’ve been curious about attaining health insurance that isn’t under your parents’ plan. But as a new, young adult, insurance is one of those things that can be scary and confusing. But have no fear, that’s why we’re here! Let us clear out the CT Insurance jargon so that you have a much clearer understanding of this subject matter.
Let’s take a look at some terminology you may cross:
- Deductible: The deductible refers to the amount of money that the insured would need to pay before any benefits from the health insurance policy can be used.
- Co-insurance: This is the amount that would need to be paid by the insured before the insurance pays and in addition to the deductible.
- Co-payments: This is another term used for, or in place of, coinsurance.
- Out-of-Pocket: This is the cost one would pay out of their own pocket. An out of pocket expense can refer to how much the co-payment, coinsurance, or deductible is.
- Lifetime Maximum: This is the most amount of money the health insurance policy will pay for the entire life.
- Exclusions: The exclusions are the things that the insurance policy will not cover.
- Pre-existing Conditions: This is something someone had before obtaining the insurance policy.
Stay tuned for tomorrow’s blog, as we’ll then tell you why these terms are so important!