Health insurance plans aren't one-size-fits-all. While every option requires a monthly premium, the specifics vary drastically between each one. To help you determine which plan is right for you, here's a closer look at four of the most popular choices on the market.

What Are the Different Types of Health Insurance?

1. Fee-for-Service

Fee-for-service plans were once the standard type of health coverage in the U.S. These policies offer the most flexibility as you can choose any doctor or specialist without the need for a referral. However, preauthorization is often required for emergency room visits. You may also have to cover full costs upfront and file a claim for compensation.

When it comes to expenses, individuals face a deductible followed by a percentage of each subsequent bill until the maximum out-of-pocket expense is met. The insurance company also sets acceptable charges based on the area's averages, so patients need to cover the difference when providers have higher prices.

2. Health Maintenance Organization

Health maintenance organizations (HMOs) are on the opposite end of the spectrum. Provider offerings on these health insurance plans are restricted to the preset network of physicians. Additionally, a doctor referral is required to see a specialist. If you choose to go out of network, the entirety of the related cost is your responsibility.

3. Preferred Provider Organization

With a preferred provider organization (PPO), patients aren't restricted to in-network providers. Referrals also aren't a requirement for coverage. However, for an out-of-network physician, it's common for policyholders to face higher deductibles. You'll likely also have to pay the provider for their service and then file a claim for reimbursement.

4. Point-of-Service

Point-of-service (POS) plans are a mix of HMOs and PPOs. Typically, these insurance policies offer a fairly wide range of in-network primary care physicians. However, you also have the option of out-of-network providers. While there's usually an option of self-referral to specialists, pricing is lower for in-network doctor-based referrals. There's also higher copays and deductibles, as well as more paperwork for out-of-network providers.

If you need dependable health insurance, turn to the professionals at IGO Insurance in Raleigh, NC, to learn more about your options. Since 1970, this agency has been a leading provider of personal policies across the state, including Durham and Wake counties. Their knowledgeable team provides personalized consultations for group and individual health coverage options provided through their partner. Request a quote today online or by calling (919) 782-1560.