Indemnity Health Insurance – Finally Explained!

Traditional health insurance plans are often called indemnity health insurance plans. These plans can be expensive, but they often cover the most health problems that may occur. Other insurance plans can exclude some illnesses or diseases from coverage. There are disadvantages to indemnity plans, however, such as they do not usually cover preventative health care like physicals. And these health plans often cover only a percentage of your bill, resulting in a co-pay. You should research the advantages and disadvantages of various coverage options when you are considering health insurance for you and your family.

Indemnity health insurance plans have numerous advantages which offset their very real problems. Yes, you will probably pay a higher premium and some upfront costs. You willl also need to submit paperwork when you make a claim. These irritations come with pluses, too, however. You will have broader coverage and it will be easier to manage your deductions. Indemnity plans also usually cover medical expenses which other plans exclude.

Indemnity health insurance plans allow subscribers the freedom to choose their own physicians. Other insurance programs restrict members to a list of doctors and hospitals which they consider their preferred providers. With indemnity health insurance, whatever doctor or hospital your physician chooses to send you to will be covered by your insurance. There have been many instances of unsatisfied customers who have chosen a doctor for themselves or a pediatrician for their children only to learn later that the person they chose is not a preferred provider. This means they either pay their own bills, or they find another provider which is approved by the insurance company.

While preferred provider organizations (PPOs) or point-of-service (POS) plans limit the physician you can see to a list of network physicians and hospitals, the freedom of choosing any physician is nationwide with indemnity health insurance plans. This means that if you are traveling across the country and have an accident or a medical emergency, you can go to the nearest hospital or see the closest physician without worrying about the expense. There have been instances where hospitals or physicians will either refuse to treat patients or treat them only minimally because the hospital or physician is not inside the plan’s preferred provider network – meaning that the patient’s health insurance will only cover a small part of the expense and the patient is liable to pay the rest of the bill. This is a risky financial situation for the physician and/or hospital since patients are often unable to fully pay costly medical bills. With indemnity health insurance plans, this is almost never the case. Consider this and the other benefits of indemnity health insurance when choosing the plan that is right for you. Overall, indemnity health insurance plans also offer you the best emergency medical coverage in the industry.

When shopping for indemnity health insurance, it pays to let your fingers do the walking and use any of the online services that offer instant health insurance quotes. Typically, such services will simply allow ask you to provide a few pertinent details from which they can generate your quotes. After the numbers are crunched, they’ll provide you with several quotes in a timely manner which you can compare coverages and premiums to ensure you’re getting the best value for your money.

Compare up to 5 FREE quotes from national health insurance companies by completing our short 4-minute form! works with major insurance companies around the nation to help you compare quotes fast and efficiently. We’ve made it easy with our exclusive 4-minute form. Just a few minutes of time now could save you thousands of dollars in just the next couple years!

- Dan Wright

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