A medical problem can occur at any period, but purchasing health insurance will ensure access to necessary care while helping manage treatment costs. There are several types of plans, and understanding them allows you to make wise decisions. Here's what to know about the options before finalizing your choice.

What Are the Different Kinds of Health Insurance?

1. Health Maintenance Organization (HMO)

A benefit of this option is the integrated care that helps you maintain wellness and focus on preventing illnesses and injuries. Under an HMO health insurance plan, patients are typically limited to care from doctors contracted with or working for the organization. If you are outside the network, your care is not covered unless there is an emergency.

Additionally, you will need a referral from your primary physician to see a specialist. This will ensure that the insurance provider will cover the treatment costs. Some HMOs also restrict coverage to individuals who work or live in the organization's area.

2. Exclusive Provider Organization (EPO)

An exclusive provider organization is a managed care plan. The medical services it offers only cover your physicians, specialists, and hospitals within the network. However, unlike an HMO, you do not need referrals with this type of plan. You can also rest assured that the care and treatment you need can also be covered if you have an emergency.

3. Point of Service (POS)

This option can help save you money, allowing you to pay less when receiving treatment from health care providers who are members of the plan network. Like an HMO, you must seek a referral from your primary care physician to see a specialist. Although a POS plan allows you to visit out-of-network doctors, treatments will be more costly.

4. Preferred Provider Organization (PPO)

PPOs are similar to POS plans because you pay less when obtaining medical services from in-network health care providers. However, there is a significant difference between the two. A PPO allows you to receive treatment from physicians, medical facilities, and providers not in the network, and you do not have to request a referral.

If you want to discuss purchasing health insurance coverage, contact Kelley Agency. This Ohio insurance agency helps clients select and start various insurance plans throughout Lorain County and the Greater Cleveland Area. To discuss what options are available, call (440) 282-8898. For more about filing claims and receiving services, visit their website.