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What is health insurance and why do i need it? Health insurance protects you and your family from financial hardship due to medical costs in the event of accidental injury or illness. There are four types of health insurance, you may only need one or you may need a combination to make sure you have the most insurance coverage possible. It is best to evaluate each type of insurance to get an accurate account of which type will best meet your needs.

Individual health coverage is designed for people who do not benefit from this type of coverage through their employer or family. Supplemental medical insurance is designed for seniors who contribute to Medicare, but want additional coverage to supplement expenses that Medicare will not cover. Hospital income insurance is intended to supplement your primary health insurance program. This coverage provides a pre-determined daily allowance amount for unforeseen expenses that accompany extended hospital stays for a covered illness or injury.

The fourth type of health insurance coverage is disability insurance, which comes in three different forms. Disability insurance protects you in the event of physical or mental disability due to an accident or illness. This type of insurance is designed to cover your living expenses if a disability prevents you from working or earning a living.

Disability insurance is used as a primary income replacement plan or as a supplement to your income maintenance plan or your group disability plan. This plan is designed to provide economic security during tough times by paying you a monthly salary directly when you are unable to work. Mortgage disability insurance is designed to protect your most valuable asset, your home. This policy specifically provides you with money to meet your mortgage obligations if you become totally disabled. Individual credit disability insurance will help you pay off your loans in equal monthly installments. If you become totally disabled, this plan will make payments on your behalf directly to the financial institution.

There are many things to consider when determining what type of insurance is best for you and what coverage you really need. If you work and receive insurance through your employer, consider how much health care coverage is actually provided to you. Then ask yourself the following series of questions:

Does it cover pre-existing conditions, genetic diseases, chronic or life-threatening illnesses? Does it only cover accidents occurring in the workplace? How much money will he spend before being considered at his limit? Will it cover the cost of transplants or long term care? What about family members, what coverage will your insurance plan offer them? Then think about your lifestyle. Do you drink or smoke? Is hypertension a family heirloom? Are you at high risk for diabetes, heart attack, or stroke? Are you accident prone or do you often take unnecessary risks? Do you work late and drive a considerable distance to and from work? Are you the primary breadwinner, and if so, how will the bills be paid if you are out of work due to an unexpected disability caused by an accident? Consider all of these things, then ask yourself if you and your family have sufficient insurance.

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