1. What is a high-deductible health plan?
    An HDHP is a catastrophic insurance characterised by lower premiums and higher deductibles than in the case of a traditional health plan. It is usually related to health savings accounts, which are tax-advantaged savings accounts used to collect money to cover medical expenses. Advisable for people who appreciate flexibility and control over the money they spend and invest.
  2. What is a health savings account?
    A health savings account combines a tax-deductible savings account with a lower cost high-deductible insurance plan. It enables you to use the tax-free savings to cover all sorts of medical expenses. What is important, the interest earned on your health savings account is tax-free.
  3. What is a long-term care insurance?
    Long-term care insurances cover services which are beyond the scope of Medicare or traditional Health Insurance. Long-term care insurance is advisable for people who have problems taking care of themselves on a daily basis and are unable to perform everyday activities, such as getting dressed, eating and bathing.
  4. What are PPO, HMO and POS insurance plans?

    Given the wide range of Health Insurance plans and key terms used in insurance jargon, it is easy to get lost among the acronyms. It gets easy once you manage to decipher the most important ones:

    • HMO stands for health maintenance organization,
    • PCP stands for primary care provider,
    • PPO stands for preferred provider organization,
    • POS stands for point-of-service plan.
  5. What is a pre-existing condition?
    A pre-existing condition refers to a medical condition such as a chronic disease (for instance diabetes, heart disease, asthma), pregnancy or an injury which occurred prior to purchasing coverage. Depending on the plan and the insurer you choose, some of the above mentioned conditions may not be covered, so consult your physician and insurance company to make sure.

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