Group Health Insurance Coverage

Health is wealth, as they say, and this is particularly true if you are trying to support your family. The good news is that most employers now offer health insurance plans for their employees as part of a compounded benefits package upon signing of contract. But how do health insurance policies, particularly group policies, work? How do they benefit you?How do health insurance policies work?Generally, health insurance policies are there to take care of all your medical needs and emergencies without having to pay for them right away in cash. In most cases, you pay a premium, or a monthly fee, to a health insurance agency and in the event of hospitalization, they will pay for the rest of your hospital bill after you have paid a portion of it. This initial payment that you make is called a deductible and it would depend on the plan that is given to you. For example, if your plan stipulates that you must pay, say, $30 a month but your deductible is only for the first two days of hospitalization, that means the insurance company will cover the remainder of the bill after you have paid for your first two days in the hospital. Usually, the higher the premium, the greater the deductible.What about group health insurance? Is there anything in particular that I need to know about it?In the case of group insurance plans, these are offered as a package from the insurance company to all the members of a particular group, or the head of that group. The advantage of this is that people who would normally be denied individual health insurance can be covered by group health insurance. One of the first things insurance companies do is to have you go through a complete physical checkup to determine health risks. If they find that you are a high-risk candidate, they may choose to deny you a policy. However, as regards to group health insurance, as long as you are a member of that group (or corporation, in the example of an employer), you automatically get coverage.Other important details to consider are whether or not your health insurance policy covers your family as well. Other considerations are whether dental and eye checkups and services are included, and whether the policy has a subsidy for prescription medication. All these factors affect the price of your premium which in turn affects your deductible. In the case of group insurance, the employer is usually the one responsible for paying the premiums on all the people his of her policy covers.While group insurance does have its advantages, it has its drawbacks as well. The group insurance is generally not as flexible as the individual insurance so it can not be customized to cater to the specific health needs of one of its members. Also, there are restrictions on subscription dates. Most employers require their employees to apply for the group policy within thirty days of starting work. After this period, the employee may be made to submit to a physical done by the insurance company which in turn may cause him or her to be denied insurance altogether.