The coronavirus pandemic has made health insurance a hot-button issue. In fact, if there is one positive thing to come out of the current pandemic, it is that all the talk of hospitalizations and emergency room visits has caused people to think more seriously about their health insurance plans. Your choice of health insurance plan determines the kind of treatment that you are eligible to receive, as well as the cost of that treatment. One of the most basic decisions that you will likely need to make when choosing a health insurance plan is deciding whether to go with an individual plan or a family plan. Before you make that important decision, however, you will need to know the basic differences between these two plans.
One of the first questions that most people have regarding the differences between individual and family plans is, “How many people are eligible for coverage under each plan?” As you may have guessed from the name, an individual health insurance plan covers one person. If you are single and have no dependents, this is likely your only option. A family plan covers two or more people–typically you, your spouse, and/or your dependents. Under most family plans, “dependents” can mean any of the following:
Biological Children Under Age 26
Legally Adopted Children Under Age 26
Foster Children (In Some Cases)
For health insurance purposes, the standard cutoff for dependents is age 26, however, there are certain exceptions to this rule. For instance, if your biological or legally adopted child is older than 26, but still depends on your support due to a disability, they can be included on most family health insurance plans. Learn more here.
One of the most important things to consider when choosing a health insurance plan is the monthly premiums that you have to pay to keep your policy in effect. If you are an insured through an employer, your employer may pay the premiums for you, but this is rare. What is more likely is that your employer will pay a portion of your monthly premium and you will pay the rest (usually as a deduction from your paycheck). Since these costs can add up, it is important to be fully aware of how much you are expected to pay per month for each plan. Individual health insurance premiums are almost always cheaper than premiums for family plans since only one person is being covered. That being said, covering family members under your family plan will likely be cheaper than covering each of these family members individually.
Another thing to consider when it comes to health insurance premiums is the number of people being covered. Typically, the more people that are included on your family health insurance plan, the higher the monthly premiums will be, though this may only be true up to a certain point. If you have a large family, you may be able to converge for each family member, while only paying premiums for some of them. This is not a guarantee as different family plans offer different pricing structures. Learn more About Comparison of Individual And Family Health Insurance Plans
Health Insurance Today
413 N 2nd St #201 Milwaukee, WI 53203
(414) 296-6040
How Many People Are Eligible For Coverage Under Each Plan?
One of the first questions that most people have regarding the differences between individual and family plans is, “How many people are eligible for coverage under each plan?” As you may have guessed from the name, an individual health insurance plan covers one person. If you are single and have no dependents, this is likely your only option. A family plan covers two or more people–typically you, your spouse, and/or your dependents. Under most family plans, “dependents” can mean any of the following:
Biological Children Under Age 26
Legally Adopted Children Under Age 26
Foster Children (In Some Cases)
For health insurance purposes, the standard cutoff for dependents is age 26, however, there are certain exceptions to this rule. For instance, if your biological or legally adopted child is older than 26, but still depends on your support due to a disability, they can be included on most family health insurance plans. Learn more here.
How Your Choice Of Plan Affects Your Premiums
One of the most important things to consider when choosing a health insurance plan is the monthly premiums that you have to pay to keep your policy in effect. If you are an insured through an employer, your employer may pay the premiums for you, but this is rare. What is more likely is that your employer will pay a portion of your monthly premium and you will pay the rest (usually as a deduction from your paycheck). Since these costs can add up, it is important to be fully aware of how much you are expected to pay per month for each plan. Individual health insurance premiums are almost always cheaper than premiums for family plans since only one person is being covered. That being said, covering family members under your family plan will likely be cheaper than covering each of these family members individually.
Another thing to consider when it comes to health insurance premiums is the number of people being covered. Typically, the more people that are included on your family health insurance plan, the higher the monthly premiums will be, though this may only be true up to a certain point. If you have a large family, you may be able to converge for each family member, while only paying premiums for some of them. This is not a guarantee as different family plans offer different pricing structures. Learn more About Comparison of Individual And Family Health Insurance Plans
Health Insurance Today
413 N 2nd St #201 Milwaukee, WI 53203
(414) 296-6040
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