Individual Health Insurance

When shopping for individual health insurance it pays to shop around and get multiple rate quotes from different companies. Price is the most confusing aspect of the individual health insurance market. For instance, the premiums for similar products from different insurers can vary by as much as 50 percent for the same person. In addition, the rules and regulations about individual health insurance vary from state to state, making comparison-shopping a challenge for the consumer.

Also, group policies offered by employers are almost always cheaper than private health insurance plans. That doesn't mean an individual health plan will be priced out of your reach, but it means you may have to give up some choice to keep costs down.

Choosing individual health insurance is going to be a balancing act between cost and coverage, as well as your philosophy of care.

Finding the right balance of coverage and cost can be tough, but it's a necessity. So take your search one step at a time. The first step is to evaluate your needs and understand your health-insurance options.

Among your choices, you'll find that the individual health market offers the same plans as the group market, including HMOs, PPOs, point-of-service plans, and traditional fee-for-service arrangements. Your budget, physician preferences, and health requirements will all have a hand in deciding which type of plan is best for you.

An update on individual health insurance from the Kaiser Foundation