Health Insurance

An insurance contract that requires your health insurer to pay some or all of your health care costs in exchange for a premium. Health insurance is a type of insurance coverage that typically pays for medical, surgical, prescription drug and sometimes dental expenses incurred by the insured.

KEY POINTS

• Health insurance is a type of insurance coverage that pays for medical and surgical expenses incurred by the insured.
• Choosing a health insurance plan can be complicated because of plan rules regarding “In” and “Out” of Network services, deductibles, co-pays, and more.
• The Affordable Care Act prohibits insurance companies from denying coverage to patients with pre-existing conditions and allows children to remain on their parents' insurance plan until they reach the age of 26.
• Medicare and the Children's Health Insurance Program (CHIP) are two public health insurance plans aimed to help older individuals and children, respectively. Medicare, which is available to those age 65 or older, also serves people with certain disabilities.
  The CHIP plan has income limits and covers babies and children up to the age of 18.